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Walgreens replacing GE on the Dow
- crunchlibrarian 8y agoJust a couple years ago this company was considered the last great American industrial giant, it's now looking like there won't be much left to recognize after the scandals and breakup and spinoffs. It's not quite a dramatic as a Google or Microsoft collapse but it's getting up there.
- lgleason 8y agoHaving seen the inner workings of GE this is not surprising.
- njarboe 8y agoI understand that the Dow is not a very good index to follow if one wants a gauge of how the market is behaving. It is still reported in the media due to its long existence and name recognition. But one would think they would include at least one of the FAANG stocks in the index. Maybe they are taking the longer view and are not interested in these huge new fanged companies, but adding Walgreens instead of Amazon to give retail more exposure in the index seems a bit silly to me.
- jermaustin1 8y agoThe problem with FAANG stocks is that they are relatively too high priced and would tilt the DJIA weight. If you add Google or Amazon to that it devalue the health of the lower priced companies.
- njarboe 8y agoThe Dow does do funny weighting. Looking over the Dow Jones list again, I realize it does have AAPL in it.