Footwear maker Deckers Outdoor Corp. and data-server provider Super Micro Computer Inc. are set to join the prestigious S&P 500 SPX stock index, making a splash by replacing Whirlpool Corp. and Zions Bancorporation, as announced by S&P Dow Jones Indices.
Both Deckers and Super Micro saw an increase in their share prices after hours, with Super Micro experiencing an 8.9% surge and Deckers up by 2.2%.
Changing of the Guard
The outgoing Whirlpool Corp. and Zions Bancorporation will be moving to the S&P MidCap 400 MID to make way for these new additions on Monday, March 18.
A Shift Towards Representation
S&P Dow Jones Indices emphasized that these changes were made to ensure that each index accurately represents its market capitalization range. The upcoming additions to the S&P 500 are geared towards enhancing the large-cap market space, while the new entrants to the S&P MidCap 400 will strengthen the mid-cap market space.
The reshuffling of these companies within the indices is aimed at creating a more balanced and reflective representation of the market landscape.