diff --git a/src/sql/workbench/services/objectExplorer/browser/asyncServerTreeDragAndDrop.ts b/src/sql/workbench/services/objectExplorer/browser/asyncServerTreeDragAndDrop.ts
index f1689594e5..019719ed64 100644
--- a/src/sql/workbench/services/objectExplorer/browser/asyncServerTreeDragAndDrop.ts
+++ b/src/sql/workbench/services/objectExplorer/browser/asyncServerTreeDragAndDrop.ts
@@ -56,7 +56,7 @@ export class AsyncServerTreeDragAndDrop implements ITreeDragAndDrop<ServerTreeEl
 		const canDragOver = this._dragAndDrop.onDragOver(undefined, data, targetElement, <any>originalEvent);
 
 		if (canDragOver.accept) {
-			return TreeDragOverReactions.acceptBubbleDown(true);
+			return TreeDragOverReactions.acceptBubbleDown(canDragOver.autoExpand);
 		} else {
 			return { accept: false };
 		}
diff --git a/src/sql/workbench/services/objectExplorer/browser/dragAndDropController.ts b/src/sql/workbench/services/objectExplorer/browser/dragAndDropController.ts
index 601e30bbfb..1d90f1f4ce 100644
--- a/src/sql/workbench/services/objectExplorer/browser/dragAndDropController.ts
+++ b/src/sql/workbench/services/objectExplorer/browser/dragAndDropController.ts
@@ -157,6 +157,14 @@ export class ServerTreeDragAndDrop implements IDragAndDrop {
 		}
 
 		if (canDragOver) {
+			if (targetElement instanceof ConnectionProfile) {
+				const isConnected = this._connectionManagementService.isProfileConnected(targetElement);
+				// Don't auto-expand disconnected connections - doing so will try to connect the connection
+				// when expanded which is not something we want to support currently
+				return DRAG_OVER_ACCEPT_BUBBLE_DOWN(isConnected);
+			}
+			// Auto-expand other elements (groups, tree nodes) so their children can be
+			// exposed for further dragging
 			return DRAG_OVER_ACCEPT_BUBBLE_DOWN(true);
 		} else {
 			return DRAG_OVER_REJECT;