Major change in Nasdaq 100: Palantir, MicroStrategy and Exxon added, Moderna and Super Micro removed

Nasdaq Inc. has introduced that Palantir Applied sciences (PLTR), MicroStrategy (MSTR), and Axon Enterprises (AXON) will probably be added to the Nasdaq 100 Index. The adjustments will take impact earlier than the market opens on December 23. In distinction, Moderna (MRNA), Tremendous Microcomputers (SMCI), and Illumina (ILMN) have been faraway from the index.

What’s the Nasdaq 100?

The Nasdaq 100 is the 100 largest non-financial shares within the Nasdaq Composite Index. The index is dominated by the “Magnificent Seven” shares, together with Apple (AAPL), Microsoft (MSFT), Alphabet (GOOGL), Amazon (AMZN), and Meta Platforms (META).

New Inclusions: Palantir, MicroStrategy, and Exxon

1. Palantir Applied sciences (PLTR)

Palantir solidified its place by shifting from the New York Inventory Trade to the Nasdaq Composite in November 2024. The corporate has a market cap of $173 billion, greater than many present Nasdaq 100 members.

• 2024 Efficiency: Palantir shares rose 343%, the most effective performer within the S&P 500.
• Sunday Night time: PLTR shares have been up 3% on Robinhood.

2. MicroStrategy (MSTR)

MicroStrategy is a software program firm, however it’s largely Bitcoin-based. The corporate used inventory and debt to purchase the cryptocurrency.

• 2024 Efficiency: A whopping 547% enhance.
• Sunday Night time: MSTR up 6% after Bitcoin hits new document excessive.

3. Axon Enterprises (AXON)

Axon is understood for its Taser weapons, physique cameras, and digital storage.

• 2024 Efficiency: AXON shares up 150%.
• Sunday Night time: One other 5% acquire on Robinhood.

Shares Excluded from Index

1. Moderna (MRNA)

Moderna’s inventory has been on a steep decline in 2024 and has underperformed.

2. Tremendous Microcomputers (SMCI)

After hitting its all-time excessive in March 2024, SMCI has come below stress as a consequence of critical accounting points.

3. Illumina (ILMN)

Regardless of a slight uptick in 2024, the value of Illumina has been trending decrease because the begin of 2021.

Implications for Traders

Mutual funds and ETFs that monitor the Nasdaq 100 will probably be prepared to purchase or promote shares after these adjustments. Nevertheless, their influence will probably be smaller than that of the S&P 500 index.

Conclusion

The addition of Palantir, MicroStrategy, and Exxon Enterprises is a big change for the Nasdaq 100. These shares have carried out effectively and have reached new highs. Alternatively, shares like Moderna and Tremendous Micro have been delisted from the index as a consequence of weak efficiency.