FILE -The logo of semiconductor chip maker Intel is pictured at the Paris games week in Paris, Nov. 4, 2017. NEW YORK — Nvidia is replacing Intel on the Dow Jones Industrial Average, ending a 25-year-run for a pioneering semiconductor company that has fallen behind as Nvidia cornered the market for chips that run artificial intelligence systems.
Paint-maker Sherwin-Williams will also replace chemical company Dow Inc. among the companies that make up the 30-stock average. S&P Dow Jones Indices said Friday that the changes that take effect Nov. 7 “were initiated to ensure a more representative exposure to the semiconductors industry and the materials sector respectively.”
It added that because the Dow is price-weighted, “persistently lower priced stocks have a minimal impact.” Dow Inc., a major producer of chemicals and plastics and unrelated to the similarly named company behind the index, has also been the smallest company on the Dow in terms of market capitalization.