Dark Horse Candidates To Enter The Dow (AMGN, UPS)

Discussion in 'The Latest UPS Headlines' started by cheryl, Mar 4, 2009.

  1. cheryl

    cheryl I started this. Staff Member

    Dark Horse Candidates To Enter The Dow (AMGN, UPS) - Investopedia

    The carnage in stocks during the bear market is sure to lead to a major rebalancing of the Dow Jones Industrial Average (DJIA), long considered one of the bellwethers of the stock market. Members of this select group of 30 stocks receive few tangible benefits from being included here, except for a little prestige.

    Some dark horse candidates have an outside chance of being added to the DJIA, too. Amgen (Nasdaq:AMGN), a biotechnology company, has a $50 billion market cap and a stock that has remained flat year-to-date. Some may argue that biotech stock is too volatile for the DJIA, but that argument holds no validity given the performance of the market over the last six months. Next, United Parcel Service (NYSE:UPS), the package delivery service business, certainly reflects the U.S. consumer culture. And if concerns arise over a company being added to the DJIA that is not in the industrial sector, look no farther than Microsoft (Nasdaq:MSFT) and McDonald's (NYSE:MCD), both of which are members of the DJIA.
  2. Monkey Butt

    Monkey Butt Dark Prince of Double Standards Staff Member

    I believe UPS and teh Dow make a good match. Strong, solid, well-managed company with long-term viably and steady, slow growth.