Bank of America (BAC), Alcoa (AA) and Hewlett-Packard (HPQ) will be dropped from the Dow Jones industrial average next week in a shake-up of the blue-chip stock index.
Goldman Sachs (GS), Visa (V) and Nike (NKE) will replace the three companies on the 30-stock index, S&P Dow Jones Indices said Tuesday. The changes will take effect Sept. 20.
The reason for the changes was "the low stock price of the three companies slated for removal and the Index Committee's desire to diversify the sector and industry group representation of the index," S&P Dow Jones said.
Bank of America, which has been part of the index for five years, closed trading Monday at $14.48, up 25% on the year. Goldman Sachs has also gained 25% this year, and closed Monday at $159.49. Visa closed at $178.55 a share, up 18% on the year.