Alphabet to Replace Verizon in Dow Jones Industrial Average

Alphabet Inc. is set to join the Dow Jones Industrial Average, replacing Verizon Communications. The change, effective before the market opens on June 29, was announced by S&P Dow Jones Indices, which cited Alphabet's broader business scope and market capitalization as reasons for its inclusion. The index provider stated that adding Alphabet will provide the Dow with greater exposure to dynamic parts of the U.S. economy, including advertising, cloud infrastructure, artificial intelligence, hardware, autonomous mobility, health care tech, and media distribution. Alphabet's larger market capitalization and share price are expected to increase its influence on the price-weighted index, where Verizon's modest share price accounted for a smaller weighting. Alphabet's stock was trading higher in extended trading following the news.