Will Alphabet's inclusion in the Dow affect its stock price long-term?

The inclusion may attract index fund inflows, but it does not change the company's fundamentals or valuation. Long-term impact is uncertain.

Alphabet to Replace Verizon in Dow Jones; Shares Rise

Q: When will the change take effect?

The change will take effect before the opening bell on September 8, 2026.

Q: How did Alphabet's stock react to the announcement?

Alphabet (GOOGL) rose 1.2% in pre-market trading.

Alphabet (GOOGL) is set to replace Verizon (VZ) in the Dow Jones Industrial Average. Shares of Alphabet rose in early trading following the announcement.

June 24, 2026

2 min read

Source: Yahoo Finance

Alphabet (GOOGL) shares rose in pre-market trading on Wednesday after the tech giant was selected to join the Dow Jones Industrial Average (DJIA), replacing Verizon Communications (VZ).

Details of the Change

S&P Dow Jones Indices, which manages the index, announced that the change will take effect before the opening bell on September 8, 2026. The reshuffle is part of a periodic review to better reflect the U.S. economy.

Reasons for the Replacement

Analysts believe that adding Alphabet reflects the Dow's shift toward the technology sector, as the company represents a significant tech weight. In contrast, Verizon has been facing pressures in the traditional telecom market.

Market Reaction

Alphabet (GOOGL) rose 1.2% in pre-market trading, while Verizon (VZ) fell 0.8%. Neither company has issued an official comment yet.

What This Means for Investors

Alphabet's inclusion in the Dow gives the stock greater institutional visibility and may attract index fund inflows. However, it does not change the company's fundamentals or valuation. Investors are advised to monitor the stock's performance after the official adjustment.

Frequently Asked Questions

The replacement is part of a periodic review to better reflect the U.S. economy and the shift toward the technology sector.

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This article was rewritten in Wrqti's editorial style based on information from the original source above. Content is informational only — not investment advice.