Three New Stocks for the Dow

The keepers of the Dow Jones Industrial Average have announced they’re adding three new stocks, and they’re taking out three.

The three new stocks are Nike ($NKE), Goldman Sachs ($GS) and Visa ($V).

They’re replacing Alcoa ($AA), Hewlett-Packard ($HPQ) and Bank of America ($BAC).

I’ve been pushing for Alcoa to be taken out for years. AA is now only an $8 stock and since the Dow is price-weighted, it’s nearly invisible.

Here’s how the old Dow names performed against the index. All three have weighed the index down in recent years.

Here’s how the three new guys have done:

Posted by Eddy Elfenbein on September 10th, 2013 at 11:56 am

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