“When the Dow Jones Industrial Average starts moving today with the opening bell at 9:30 a.m. New York time, it will have a slightly different look,” Paul Vigna reports for The Wall Street Journal.
“Apple Inc. starts trading today as a member of the index, replacing AT&T Inc., and while the high-tech leviathan currently sports a market-cap ($748.3 billion) twice the size of any other company in any other industry, it will have a slightly more modest spot in the price-weighted Dow,” Vigna reports. “After accounting for Visa Inc.’s 4-1 stock split, Apple’s stock, which closed Wednesday at $128.47, will give it the fifth-highest weighting in the index, behind Goldman Sachs Group Inc., 3M Co., IBM Corp., and Boeing Co.”
Read more in the full article here.
MacDailyNews Take:
Related article:
Apple to join the Dow Jones Industrial Average – March 6, 2015
The stock looks about the same as it was before joining the Dow.
I think the only way this drives the price up is if Dow index funds are compelled to buy the stock. But I honestly don’t know how many such funds there are. I thought when it came to index funds, the S&P 500 was more popular.
——RM
Its not Apple stock that will be changing, its the Dow… LOL
This is certainly nice to read.
“Now the index will have another superstar among its cohort.”
Tim Cook may not have the Jobs charisma on stage but he certainly isn’t a slouch in the overall leadership department.
Of course the real test for me will be the success of the watch. If it’s a total disaster a total flop, I will have to rethink my position. If the watch sells and begins another disruptive revolution (signs are pointing that way) then…. well I’ve dropped hints but don’t want to spoil the surprise.
Congratulations are in order today for AAPL finally getting above where they were when they joined DJIA..