Reorganization in the Dow Jones: NVIDIA Replaces Intel and Becomes the Industry Representative

S&P Dow Jones Indices has announced that AI giant NVIDIA will replace Intel in the prestigious Dow Jones Industrial Average. This change will take effect at the start of trading on Friday, November 8, 2024. The adjustment aims to ensure a more accurate representation of the semiconductor industry. While NVIDIA has recorded an impressive 173 percent increase in its stock price so far this year, Intel, on the other hand, has seen a much bleaker decline of 54 percent. Driven by growing dominance in the AI chip sector, NVIDIA is viewed as a market leader in this field. Analysts from BofA Securities predict that the demand for AI accelerators could grow to $280 billion by 2027, with a further increase to over $400 billion in the long term. NVIDIA is expected to maintain a 75 percent market share. In addition to this significant change, S&P Dow Jones Indices also announced that Sherwin-Williams will replace Dow in the Dow Jones Industrial Average. This change further highlights the dynamic adjustments aimed at ensuring a contemporary representation of global markets.