Will apple replace GM in DOW?

[samintx]

I have read that that is a possibility. Would only make the price go up.

I have wondered what Carl Icahn did with his 34.00 GM stock he was buying up a couple of years ago. I think it was Carl ...wasn't it?

just announced: NEW YORK (AP) -- The Dow Jones industrial average is adding Travelers Cos. and Cisco Systems Inc., dropping Citigroup Inc. and General Motors Corp.

[tronnei]

Ford is more likely.

[rgG]

Cisco will replace GM in the Dow.

http://www.cnbc.com/id/31043730

The Dow Jones industrial average is adding Travelers and Cisco Systems, dropping Citigroup and General Motors.

[vicrock]

And Travelers has replaced Citigroup

[samintx]

Travelers has had their problems, too. Darn I wanted Apple on the DOW.

[freeradical]

I could care less what companies make up the DJIA. It is not a meaningful index of the stock market.

[Article Accelerator]

rgG wrote:
Cisco will replace GM in the Dow.

I wonder what criteria were used. Apple has higher capitalization ($123 B vs. 113 B.) and a stronger balance sheet than Cisco.

[rgG]

Article Accelerator wrote:
[quote=rgG]
Cisco will replace GM in the Dow.

I wonder what criteria were used. Apple has higher capitalization ($123 B vs. 113 B.) and a stronger balance sheet than Cisco.

http://www.1728.com/dowjone2.htm
There are no specific criteria by which a company is chosen to be on the Dow 30. Generally, the Dow 30 is composed of very large companies that represent a variety of industries in the economy. You will never see the Dow 30 list consisting of companies that are all in the same industry.

Any decision to add or remove any of the companies which make up the Dow 30 is made by the editors of the Wall Street Journal.
Also, there is no particular schedule by which Dow 30 companies are changed. The list of Dow 30 companies went from June 1, 1959 to August 9, 1976 completely unchanged. Then again changes have been made in less than 1 month. (The Dow 20 remained unchanged for only 3½ weeks from December 7, 1925 to December 31, 1925.)

One of the major reasons for removing or adding companies to the Dow 30 list is to reflect major changes in the economy. Some of the companies that were on the list such as Remington Typewriter, Victor Talking Machine and Pacific Mail Steamship now seem very out of place in today's economy. Two of the more recent additions, Microsoft and Intel, reflect the high technology aspect of the 21st century economy.

[lafinfil]

Maybe the DJ dissed Apple because they don't pay their CEO enough