In the battle of stock indexes, the Nasdaq Composite is trouncing the Dow Jones Industrial Average so far in 2023. As of June 30, the Nasdaq Composite has returned over 20%, while the Dow Jones has only returned around 12%. This outperformance can be attributed to the fact that the Nasdaq Composite is heavily weighted towards technology stocks, which have been on a tear in recent years.
One of the notable Nasdaq-listed companies is Ohmyhome, founded by sisters Race and Rhonda Wong. In an interview, they reveal where they get their business acumen and work ethics from, citing their parents and their experiences growing up in Singapore. Ohmyhome is a proptech company that offers a one-stop platform for buying, selling, and renting properties.
Lordstown Motors Corp, a company that designs and manufactures electric pickup trucks, recently announced a reverse stock split to meet Nasdaq listing norms and appease investor Foxconn. The move is expected to increase the company's share price, which has been trading below the Nasdaq's $1 minimum bid price requirement.
Akebia Therapeutics®, Inc. is a biopharmaceutical company that focuses on developing treatments for kidney diseases. The company's stock, listed on the Nasdaq under the ticker AKBA, has been performing well in recent months due to positive clinical trial results for its anemia drug Vadadustat.
In a recent Yahoo Finance segment, markets reporter Jared Blikre breaks down the performance of mega cap stocks in the Nasdaq-100 and the Nasdaq Composite over the past 30 years. Blikre notes that the top-performing stocks in these indexes tend to be technology companies such as Apple, Amazon, and Microsoft.
While the Dow Jones and CAC40 have struggled to make progress, the Nasdaq 100 has been supported by inflows from investors. The Nasdaq 100 is a subset of the Nasdaq Composite that includes the 100 largest non-financial companies listed on the exchange.
Hyzon Motors Inc. is a global supplier of zero-emission heavy-duty fuel cell electric vehicles. The company, listed on the Nasdaq under the ticker HYZN, recently announced that it will merge with Decarbonization Plus Acquisition Corporation II, a special purpose acquisition company.
Netflix, Inc. is a popular streaming service that has been listed on the Nasdaq under the ticker NFLX since 2002. The company's stock has been volatile in recent years due to increased competition in the streaming space and concerns about its ability to continue producing hit original content.
According to technical analysis, the unweighted Nasdaq 100 chart has collapsed during February-May, signaling the bear market will resume any day now. This suggests that investors may want to be cautious with their investments in the Nasdaq Composite and Nasdaq 100 indexes.
From these articles, it is clear that the Nasdaq Composite and its constituent companies are highly relevant in today's financial landscape. The index's heavy weighting towards technology stocks has propelled its outperformance compared to other indexes such as the Dow Jones. However, investors should be aware of potential risks, such as increased volatility and the possibility of a bear market in the near future. Overall, the Nasdaq Composite remains a popular and important index for investors to follow.
