How many companies are in the Dow Jones?
30 large US companies, chosen by a committee to represent the US economy. Changes are rare. The list on this page has 30 lines today.
How are Dow Jones weights worked out?
The Dow is price-weighted: each company's weight is its share price divided by the total of all 30 share prices. Company size does not matter, so a $500 stock carries ten times the weight of a $50 stock. A $1 move in any member moves the Dow by the same number of points (1 ÷ the Dow divisor, roughly 6 to 7 points).
What does "points contributed" mean?
It is the number of Dow points a company's move added or took away today. Because the Dow is price-weighted, it is the stock's dollar change divided by the Dow divisor; equivalently its weight × its % move × yesterday's Dow close. All 30 together add up to the Dow's move.
Why does a high-priced stock move the Dow most?
In a price-weighted index a dollar is a dollar: a 2% move in a $600 stock is $12, which moves the Dow far more than a 2% move in a $50 stock ($1).