Amazon’s logo is seen at the company’s logistics center in Lauwin-Planque, northern France.
Pascal Rossignol | Reuters
Big tech stocks are slashing their massive share prices with massive stock splits.
Amazon’s stock price will close today at a decoupled adjusted price of $139.28. As with Alphabet, Amazon’s stock split makes the e-commerce giant’s stock more palatable as a component of the price. Dow Industrials. At the split adjusted price, Amazon would have the 12th smallest weight out of 30 stocks, which would put it right in the middle of the pack – an identical weight to Walmart. But don’t like WalmartAs a Consumer Staple Stock, Amazon is in the Consumer Consumption industry.
Perhaps the Dow index committee could consider offering Walgreens boot from the index as that company reevaluate its Boots unit. And even though Walgreens is a Consumer Goods stock, replacing it with Amazon would still give consumers good representation. Walgreens is the second least influential stock in the weighted index, at $48.
On Alphabet and Amazon, Nvidia may also be waiting. The chip maker split its stock 4 for 1 in July, and its price is currently at $230. If added to the index, Nvidia would have the sixth-largest weighting in the Dow – far more than the least-impact stock of Dow, its competitor. Intelfor less than $48.
Other technologies that may remain vulnerable include Cisco, the fourth least influential stock in the index, and IBM, which has the eighth smallest weight and has now completed a remanufacturing of the base unit. infrastructure managed by Kyndryl.
The last major tech company to join the Dow was Apple, added in March 2015just nine months after completing the 7-to-1 division, for the fourth time in its history. (It since completed a Divide 4 by 1 in 2020.)
Now that it has been delivered to you, the Dow committee…