22.12.2024 13:53:00
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Prediction: These 2 Stocks Will Join the S&P 500 in 2025
The Dow Jones Industrial Average (DJINDICES: ^DJI) might be the best-known of the major stock market indexes, but experienced investors know that the S&P 500 (SNPINDEX: ^GSPC) is the index that best reflects the overall market.As the name implies, the index holds 500 of the top U.S. large-cap stocks. In order to join it, a company must be based in the U.S., be profitable on a generally accepted accounting principles (GAAP) basis over its last four quarters, and have a "large-cap" market cap, generally meaning above $10 billion. S&P Global, which runs the index, also considers liquidity, share float, and the stock's contribution to sector balance in the index. The S&P 500's managers review the index every quarter and generally swap one or two stocks in and out based on these criteria, so we're likely to see some more changes and new entrants next year. Two stocks in particular looking ripe to join the vaunted index are AppLovin (NASDAQ: APP) and The Trade Desk (NASDAQ: TTD). Continue readingWeiter zum vollständigen Artikel bei MotleyFool
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