Three more firms, namely Palantir (PLTR), MicroStrategy (MSTR), and Axon Enterprise (AXON), are ready to join the ranks of the Nasdaq 100 Index as of Monday, December 23. They will be taking the place of Super Micro Computer (SMCI), Moderna (MRNA), and Illumina (ILMN) due to a reconstitution of the index, as announced by Nasdaq on Friday.
In a notable week, the Nasdaq 100 crossed the 20,000 mark for the first time ever on Wednesday, riding on a wave of surging tech stocks in response to inflation data -- reinforcing the possibility of a rate cut by the Federal Reserve. Assembled yearly in December, and altered quarterly to reflect the individual market caps of its members, the Nasdaq 100 includes the largest non-financial sector companies from the Nasdaq Composite Index.
Recent changes have also been seen in the Dow and S&P 500. Apollo Global Management (APO) and Workday (WDAY) are set to join the S&P 500 later this month, taking the place of Qorvo (QRVO) and Amentum (AMTM). Nvidia (NVDA), a prominent player in artificial intelligence (AI), took Intel’s (INTC) place in the Dow Jones Industrial Average last month. Also joining the index was Sherwin-Williams (SHW), replacing Dow (DOW).
Palantir’s stock has seen a surge in 2024 due to the increasing demand for its AI products. Their move to the Nasdaq from the New York Stock Exchange last month to become eligible has ended in their inclusion in the Nasdaq 100. MicroStrategy's shares have also seen a jump in line with the spike in the price of bitcoin (BTCUSD) after Donald Trump’s reelection, with ambitions to turn the U.S. into a "crypto capital."
Meanwhile, Super Micro Computer is facing a potential delisting by the Nasdaq for failing to meet a February deadline to submit its delayed annual report. This follows a year marked by volatility, accusations of accounting manipulation, and less than timely disclosures, with the company’s stock just recently recovering from a period of losses. Despite these challenges, as of Friday's close, the stock was up about 30% this year, despite being considerably below 2024 highs.