Tesla (TSLA) to Join S&P 500
- S&P hits record, Nasdaq jumps 1% as weak jobs data eases Fed tapering worries
- U.S. Added Only 266,000 Jobs in April, Well Below Estimates
- Roku (ROKU) Surges After Crushing Profit Estimates to Prompt an Upgrade to 'Buy' at Loop Capital
- Dollar slides to more than two-month low after big U.S. jobs miss
- Square (SQ) Tops Q1 EPS by 25c
News and research before you hear about it on CNBC and others. Claim your 1-week free trial to StreetInsider Premium here.
(Updated - November 16, 2020 5:17 PM EST)
Tesla (NASDAQ: TSLA) will be added to the S&P 500 effective prior to the open of trading on Monday, December 21 to coincide with the December quarterly rebalance. Due to the large size of the addition, S&P Dow Jones Indices is seeking feedback through a consultation to the investment community to determine if Tesla should be added all at once on the rebalance effective date or in two separate tranches ending on the rebalance effective date. Tesla will replace a S&P 500 company to be named in a separate press release closer to the rebalance effective date.
Commenting on the news, Wedbush analyst Dan Ives said, "... this is a major feather in the cap for the Tesla bulls after much agonizing around not getting into the S&P 500 in early September."
Ives believes the sustained profitability trajectory was the final straw that got the company into the S&P 500 this time around despite all the noise around tax credit boosts.
"Clearly this is a key positive for shares and indexing purposes and ultimately removes another question mark around the Tesla story going forward," he added. The firm maintains a NEUTRAL rating and $500 price target with a bull case $700.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Baillie Gifford Sold Over 11M Shares of Tesla (TSLA) in Q1
- PureCycle Technologies (PCT) Sinks 20% on Short Report
- Tesla (TSLA) Model S wait time increased by about a month, while Model X was pushed back by three months - InsideEVs
Create E-mail Alert Related CategoriesCorporate News, Hot Corp. News, Index Changes, Trader Talk
Related EntitiesStandard & Poor's, Tesla
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!