NVIDIA’s inclusion in the Dow Jones Industrial Average and Intel’s removal—what does this signify?

The Dow Jones Industrial Average (DJIA) comprises only 30 component stocks—far fewer than the other two major U.S. indices. Using it as a barometer for the performance of U.S. listed companies—or even for the broader economy—naturally sets an exceptionally high threshold. Frequent adjustments, therefore, are unsurprising. This time, alongside NVIDIA, Sherwin-Williams Company (ticker: SHW) was also added to the DJIA. Naturally, this news is bullish for both stocks, significantly enhancing their market liquidity. Where there’s laughter, there’s also tears. Since these two new entrants filled vacancies, the previous incumbents had to be unceremoniously ousted. The two unfortunate companies removed were Intel and Dow Inc., a materials science firm that shares its name with the index itself—but that offered no protection. Inclusion in the DJIA is undoubtedly an achievement for any company, while removal signals the end of its status as a market darling. All DJIA constituents are household names and industry leaders—from Walmart and Goldman Sachs to UnitedHealth Group—without exception.

Stock splits truly boost share prices—but not for the reason you think.

Other highest-priced stocks in the S&P 500 include Booking Holdings (BKNG), trading at approximately $2,300; AutoZone (AZO), around $2,040; Chipotle Mexican Grill (CMG), roughly $1,600; and Mettler-Toledo International (MTD), about $1,350. A classic rationale supporting stock splits is that they make shares more accessible to individual investors—or employees—who might otherwise find high-priced stocks prohibitively expensive. For example, consider a company with a $2 billion market capitalization, 1 million shares outstanding, and a share price of $2,000. After a 1-for-10 split, it would have 10 million shares outstanding, each priced at $200, preserving the $2 billion market cap. Pre-split, each shareholder would receive nine additional shares for every one held. An investor previously willing to invest only $200 could now purchase one share—and do so at $200 per share instead of $2,000. Companies aim for a diversified shareholder base comprising both institutional and retail investors—a group whose influence on markets and individual stocks has grown markedly in recent years. Yet this logic has diminished in relevance today compared to just a few years ago. Most brokerages now allow investors to buy fractional shares—i.e., ‘slices’—of individual stocks. Fidelity permits customers to start investing in thousands of U.S. stocks and ETFs with as little as $1. Robinhood users can even purchase one-millionth of a single share. An investor can effortlessly acquire $200, $1, $10, or $54.31 worth of a $2,000 stock. A Fidelity spokesperson noted that last year, 2.3 million accounts utilized fractional-share trading. Moreover, many investors gain exposure via index-tracking ETFs, which already enable them to hold baskets of stocks at costs far below the aggregate price of the underlying securities. At one time, stock splits may have disadvantaged investors who paid per-share commissions (rather than per-trade commissions). But in today’s zero-commission trading environment—now standard across most brokerages—this disadvantage has essentially vanished. Options trade in lots of 100 shares, so contracts on high-priced stocks can be costly. Over the past two years, retail participation in options trading has exploded—potentially amplifying this effect. Yet this matters more for companies like GameStop than for giants like Amazon or Alphabet. Lower effective share prices make Amazon and Alphabet more viable candidates for price-weighted indices like the Dow Jones Industrial Average. Though still speculative, Apple joined the Dow in 2015—just one year after executing a 7-for-1 split. Since its 1980 IPO at $22 per share, Apple’s stock has undergone five splits. Adjusted for splits, its original IPO price amounts to just $0.10 per share.

The Sherwin-Williams Company (NYSE:SHW) Stock Rated "Moderate Buy" by Sell-Side Analysts

14 hours ago

Sell-side analysts rate Sherwin-Williams as a "Moderate Buy" with a $387.47 price target following quarterly earnings that beat expectations with $6.79 billion in revenue.

MarketBeat

2026-05-17

DNB Asset Management AS Buys 3,490 Shares of Sherwin-Williams

2026-05-19

North Dakota State Investment Board Invests $2.59 Million in The Sherwin-Williams Company $SHW

2026-05-23

Mizuho Markets Americas LLC Purchases 68,603 Shares of The Sherwin-Williams Company ($SHW)

2026-05-24

Sherwin-Williams Receives 'Moderate Buy' Consensus from Analysts

2026-05-25

Swedbank AB Increases Stake in Sherwin-Williams Co