NVDA: Nvidia to Join Dow Jones Industrial Average, Elbows Out Battered Rival Intel

Intel isn’t what it once was — the struggling chipmaker’s stock has washed out over 50% this year. Nvidia has gained more than 180%.

• Nvidia stock NVDA is the newest entrant into the highly exclusive 30-stock index Dow Jones Industrial Average DJI. The chip giant will push out struggling rival Intel INTC, which has lost its mojo with its shares down more than 50% on the year. Nvidia, on the other hand, is up more than 180% — a much better and stronger representation of the chip and artificial intelligence revolution.
• S&P Dow Jones Indices, the organization that manages the iconic Dow Jones index, said the change was needed in order to “ensure a more representative exposure to the semiconductors industry and the materials sector respectively.” The swap is scheduled to happen on November 8 and it’s a bitter moment for Intel — the chip maker has been on the Dow index since 1999.
• The Dow Jones Industrial Average was created by Charles Dow in 1896 and is used as a benchmark for the state of the US economy as it holds well-established companies with proven history and solid reputation. Nvidia will now rub shoulders with other tech peers on the index, including Microsoft MSFT, Amazon AMZN, and Apple AAPL.