Apple to Replace AT&T in Dow Jones Industrial Average | NECN

Apple to Replace AT&T in Dow Jones Industrial Average

    processing...

    NEWSLETTERS

    AP
    In this Tuesday, Oct. 4, 2011 file photo, an Apple logo is seen during an announcement at Apple headquarters in Cupertino, California.

    Apple is replacing AT&T in the Dow Jones industrial average after the close of trading on Wednesday, March 18.

    The switch will take effect at the opening of trading on Thursday, March 19, says S&P Dow Jones Indices LLC. The change was prompted by a 4-for-1 stock split for Dow-member Visa.

    S&P Dow Jones Indices says the post-split adjusted lower price of Visa will reduce its weighting in the information technology sector of the index. Adding Apple will help to partially offset this reduction. In price-weighted indices such as the Dow, a large change in price in a stock can have a material impact on sector representation in the index. This index change is designed to minimize that impact.