Google Fails To Make The Dow

The Dow Jones Industrial Average, considered by many to be the primary benchmark of the stock market’s performance, added two companies this week. The Dow holds 30 stocks at a time, trying to hold a balanced portfolio of stable, large, important companies in different industries, and this time it dropped the Altria Group and Honeywell, and added Bank of America and Chevron.
One company it didn’t add, one which has been rumored for addition to the Dow since it went public almost four years ago: Google, Inc. Google was snubbed, but for a perfectly reasonable reason. The Dow does not even out the stock price of companies in it, so a company like Google, with a $500-plus share price, would take up over eighteen times the space in the Dow than a company like Microsoft, even though Microsoft is worth $100 billion more.
If Google were in the Dow, […]

See original post by Nathan Weinberg