Amazon will replace Walgreens Boots Alliance in the Dow Jones Industrial Average.
The change will go into effect before trading starts Monday, S&P Dow Jones Indices announced Tuesday after markets closed. Walgreens has been part of the Dow Jones Industrial Average since 2018 when it replaced General Electric.
“Reflecting the evolving nature of the American economy, this change will increase consumer retail exposure as well as other business areas in the DJIA,” S&P Dow Jones Indices said in a statement.
Walmart’s decision to split its stock 3-to-1 “prompted” the shift, the index provider said.
The addition of Amazon marks another checkpoint in the company’s rapid growth from an online book retailer to an e-commerce giant.
Amazon shares are up half a percentage point since trading opened as of 2:30 p.m. EST Wednesday, while Walgreens stocks have dipped 3 percent.
S&P Dow Jones Indices also announced Uber Technologies will replace JetBlue Airways in the Dow Jones Transportation Average.
“This change will help the index gain exposure to the ride sharing industry,” S&P Dow Jones Indices said, noting the “index change was prompted by JetBlue’s low weight in the index of less than one-half of one percentage point caused by its low share price.”
Uber shares are down around a half of a percentage point as of 2:30 on Wednesday, and JetBlue shares are down 3.5 percent.