Jun 13, 2022
This week Derek Moore discusses why Tesla’s 3-1 stock split and Amazons 20-1 stock split don’t really matter except potentially making them eligible to join the Dow Jones Index. Plus, some have made comparisons of the selloff in tech to the 2000 Dotcom crash. As Derek explains, they are different and not similar given the numbers then and now. Finally, Derek gives some surprising data points about who the number one weighted stock was in March of 2000 in the Nasdaq 100 Index. You’ll never guess it!
Who was the highest weighted company in March 2000 in the Nasdaq 100 Index (QQQ)?
Comparing companies in the Dotcom crash era to today’s highest weighed tech companies
Why this is not a Dotcom 2.0 situation
Comparing the forward earnings multiple then and now
Is Tesla going into the Dow Jones Index?
Will Amazon join the Dow Jones Index?
What companies remain in the top 10 QQQ today vs. 2000?
Sirius Satellite cumulative 10-year earnings 1990-2000
Why stock splits don’t matter explained
Why stock splits do matter given companies were probably already moving higher
How the S&P 500 Index and Nasdaq 100 Index weight companies compared to the Dow Jones Index
Mentioned in this Episode:
Contact Derek Moore derek.moore@zegafinancial.com
ZEGA Financial www.zegafinancial.com
Derek Moore’s Book Broken Pie Chart https://www.amazon.com/Broken-Pie-Chart-Investment-Portfolio/dp/1787435547?ref_=nav_signin&
Tesla announces 3-1 stock split https://finance.yahoo.com/news/tesla-stock-split-june-2022-212130185.html
What does Amazon’s 20-1 stock split mean for investors https://www.morningstar.com/articles/1097120/what-does-amazons-stock-split-mean-for-investors