Walmart Inc. will be added to the Nasdaq-100 Index effective next week, replacing AstraZeneca PLC, which is being removed following a recent drop in market capitalization. The transition marks a significant shift in the composition of one of the world’s most influential technology and growth-oriented indices.
- Walmart Inc. will join the Nasdaq-100 Index next week.
- AstraZeneca PLC is being removed due to falling market capitalization below $300 billion.
- Walmart’s current market capitalization exceeds $390 billion.
- Index rebalancing is based on market cap, liquidity, and sector representation.
- ETFs and index funds will adjust holdings, affecting near-term trading volume.
- The change reflects growing influence of consumer tech and logistics in the index.
Walmart Inc. is set to become a new member of the Nasdaq-100 Index, beginning next week, in a move that reflects the company’s expanding influence beyond traditional retail into digital commerce and supply chain innovation. The inclusion follows the official removal of AstraZeneca PLC, whose market capitalization fell below the threshold required for inclusion, triggering its exit from the index. The Nasdaq-100, which tracks the largest non-financial companies listed on the Nasdaq stock exchange, will now feature Walmart as its 100th constituent, highlighting the growing role of consumer-driven technology and logistics platforms within the index’s framework. The transition is based on the most recent rebalancing criteria, which prioritize market capitalization, liquidity, and sector representation. Walmart’s market cap exceeds $390 billion, placing it firmly within the top-tier of eligible firms. AstraZeneca, with a market capitalization of approximately $210 billion at the time of removal, no longer met the minimum threshold of $300 billion required for continued inclusion. This shift underscores how rapidly market dynamics can reshape index compositions, particularly in a year marked by volatility in healthcare equities and strong performance in e-commerce and automation sectors. The addition of Walmart is expected to influence index-tracking funds, exchange-traded funds (ETFs), and algorithmic trading strategies that follow the Nasdaq-100. Funds tracking the index will need to adjust their holdings within days of the change, potentially driving short-term trading activity in both Walmart and AstraZeneca shares. Additionally, Walmart’s inclusion may signal broader recognition of large-cap consumer technology players beyond traditional tech firms, potentially opening the door for other non-traditional index candidates in future rebalancings.