By The Numbers
- Dell Has Worst Day in 11 Years, Volume Jumps
- What Would it Take for Facebook to Eclipse Visa's Record IPO?
- Gold Turns Negative for 2012
- The Worst-Performing Energy Stocks This Week
- Papa Johns Hits Record High, Volume Spikes
- S&P 500 Earnings: Biggest Surprises
- Big Lots Has Worst Day Since 2008, Breaks Technical Level
- BP Oil Disaster: Two Years Later
- eBay Has Best Day Since 2008, Volume Spikes
- Here are Today's Winners on the Biotech Index
EDITOR
ABOUT BY THE NUMBERS
#GIOVANNYMOREANO ON TWITTER
Nearly Five Years Later, a Vastly Different Dow
Text Size 
 |
The Dow industrials [.DJI Loading... ()
] settled above 13,000 for the first time ever back in spring 2007, a mere six months after its first close above 12,000. Since April 2007, however, five companies were removed from the index: Altria Group, Honeywell International, American International Group, General Motors, and Citigroup; these were replaced by Bank of America, Chevron, Kraft Foods, Travelers Companies, and Cisco Systems.
With those changes and the various price movements — the Dow industrial average is price-weighted, giving higher-priced stocks greater impact — there has been a notable shift in the exposure the Dow industrials provide to investors.
Energy, for example, currently accounts for 11 percent of the index weighting, compared with 5 percent back in 2007.
 |
Arguably, the Dow industrial average has also become less balanced in recent years. Back in April 2007, about 80 percent of its 30 stocks had relatively moderate individual weightings between 2 percent and 5 percent. Today, only half on the average’s stocks are in that middle range.
Stocks such as International Business Machines [IBM
Loading...
()
], currently make up a dominant 11 percent of the average, compared to a 6 percent weighting five years ago. Additionally, while none of the Dow industrial components had weightings of less than 1 percent in 2007, Alcoa [AA
Loading...
()
] and Bank of America have such tiny weightings now that they are essentially insignificant to the index movements.
 |
- Companies that establish sustainable principles are positioned for long-term success, says this blogger.
- Advanced manufacturing is about customization, high-precision and performance. And it’s everywhere.
- Many veterans are turning to franchising as a way to make a living once they are out of the military.
- Have you ever wished you could just quit your job and follow your dream? These people have.
- Emerging-market bulls should look to Brazil, South Africa and Russia, as well as Thailand and South Korea.
- Some beers are better than others. An annual competition chose the ones that are the best.
Data is a real-time snapshot *Data is delayed at least 15 minutes
