The DJIA is price weighted (not market cap weighted). Nvidia if added would only have about 2.3% weighting or about 1000 index points So if Nvidia triples overnight (to 10T market cap) the day after being added, the DJIA would only increase by 2000 points. lol.
It is weighted however with nvda going up every day week month and year for the next 10 to 20 yrs it could propel the dow higher than if say intc or IBM or nke is left in there
More like "I can buy 100 shares @ $100 for a cost basis of $10,000 rather than $100,000". Wider potential market to tap. NVDA has split many times in the past, were some of those new buyers .... retail dumb money?
And just like that, in 1 single day nvda adds an entire Deer and company ... 100 billion in market cap added like nothing.....easy as making a peanut butter and jelly sandwich.
Who are these new competitors besides AMD? AMD is at least 2-3 years away from product that will equal Blackwell. There are no competitors right now. They are being funded at the VC level but they are likely further behind than AMD is. NVDA will $150 by the next earnings report.
Well, my friend, if you had 10,000 shares of NVDA (pre-split) in your portfolio, you too would be saying the same crap. That's the only way to hype up the stock. Haven't you learned your lessons from those gung-ho Bitcoiners already?
As a tech stock investor/trader, if your account has beaten the QQQ over the last 5 years you are smart money , otherwise you are dumb money (QQQ is up 161% over the last five years)
Finally someone who actually knows what he is talking about. Given that traders with thousands of posts on this forum don't even know Dow is price-weighted, makes me wonder about the signal to noise ratio here.
Hmm, I don’t quite see it that way. Beating qqq is easy. Say, you have money to buy 1000 shares of qqq. Buy 1100 shares, 100 shares on margin. Then you will be able to say you beat qqq Trading is a business and as a trader/businessman, my goal is to beat the treasury bills. Why would I start a business if all it earned me was a risk free return of 5%? Risk free means no capital loss. Now, you have to ask yourself how much return is worth for you to be in trading business. Sure, qqq gives you 30% return but it comes with lot of risk. So, risk free return of more than 5% and less than 30% is ok for me to be in this business full time. All I am looking for is a profit at the end of the year, every year. It should sustain my standard of living and that means I should have enough capital to be in this business.