TESLARATI By Joey Klender 11/16/2020
Tesla (NASDAQ: TSLA) is set to join the S&P 500 after being snubbed from the index in early September. The electric automaker will officially join the S&P 500 on Monday, December 21st, 2020.
The S&P announced:
â€œOn November 16, 2020, S&P DJI announced that 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 rebalancing effective date.â€
According to StreetInsider.com, the S&P Dow Jones Indices is seeking feedback through a consultation to determine which companies will be removed and whether TSLA will be added all at once. Because of TSLAâ€™s massive valuation, which is the largest among carmakers in the world, it could be added to the S&P in two tranches.
The S&P also detailed this in a statement, according to CNBC.
â€œDue 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.â€