The stock index, popularly known as The Dow Jones Industrial Average is live for period of over a hundred years. The existence of this index is used as a standard to review the overall health of the stock market. One can ascertain the importance of this stock index by the fact that Dow Jones is quoted by every analyst to review and describe the market position. Apart from Dow Jones, S&P 500 is another popular stock index. The reason behind the popularity of Dow Jones for being popular is that this index was primarily designed to describe the overall health of the stock market. It was during the year 1884, when Charles Dow added 12 transportation and 2 industrial companies to this index for capitalization. Sources claim that he planning to launch such an index that would track health and performance of the entire US economy. With the passage of time, Charles Dow added more companies and industries to the capitalization index as industrial sector improved. It happened in 1896 that the first Dow Jones Industrial Average Index was published. Meanwhile, in the year 1928, the 30-stock version of the same index was introduced. Since 1928, the General Electric Company stock was the most lively-traded stock on the 30-stock index version until, the index was replaced with the 12-stock version in the year 2018. We are about to discuss Top 10 Dow Stocks to Buy in this article as shared by Insider Monkey.
One of the important stocks of Dow stock index is salesforce.com, inc. The share price of this stock increased up to 35% during December. This increase, according to some analysts, is due to growth in company’s revenue. During the last quarter of the ongoing, the company posted a revenue of $5.24 billion, which was 20% higher as compared to past years. Salesforce.com also signed agreement to acquire Slack Technologies Inc for a whooping $28 billion. Walt Disney Co. is another major stock of the Dow Jones index. The price of this stock also surged between June and September. The value of the company’s capital increased from $6.82 billion to $8.98 billion. Walt Disney witnessed a 17% increase this year, which some analysts term a major development since the pandemic hit. There are a lot more high and mighty companies on this index. To review information about other companies, see 10 Best Dow Stocks to Buy Now.