Alphabet (Nasdaq: GOOGL) will enter the Dow Jones Industrial Average on June 29, replacing Verizon Communications (NYSE: VZ) in the index’s first reshuffle since November 2024 — a swap that puts five of the so-called Magnificent Seven inside a benchmark Charles Dow built in 1896 to track cotton oil, tobacco, and sugar.
S&P Dow Jones Indices announced the change June 24, citing Alphabet’s scale and exposure to AI, cloud computing, digital advertising, and healthcare technology as making it a stronger representative of the Communication Services sector than Verizon. The change takes effect before Monday’s opening bell.
The Dow is a price-weighted index — each stock’s influence on the average reflects its share price, not its market cap. Verizon, trading at roughly $47, contributed about half a percentage point to the index’s total movement. Alphabet, trading at roughly $350, will bring in significant movement from day one.
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With Alphabet’s addition, Nvidia (Nasdaq: NVDA), Amazon (Nasdaq: AMZN), Apple (Nasdaq: AAPL), Microsoft (Nasdaq: MSFT), and Alphabet — five of the seven mega-cap technology stocks that have dominated market returns in recent years — now all hold seats in the 30-stock average.
The November 2024 reshuffle brought Nvidia in at Intel‘s (Nasdaq: INTC) expense. Amazon joined in February 2024, replacing Walgreens (Nasdaq: WBA).
Alphabet stock rose about 1.5% in early trading on June 24 following the announcement. Verizon fell roughly 2%.
