Research In Motion Limited (TSE:RIM) (NASDAQ:RIMM) and Netflix, Inc. (NASDAQ:NFLX) have gotten the boot from the NASDAQ-100, while Facebook Inc (NASDAQ:FB) has been added. The key stock market index is made up of the 100 largest non-financial stocks in the NASDAQ, and these changes will become effective before the market opens next Monday.
NASDAQ OMX Group, Inc. (NASDAQ:NDAQ), the parent company of NASDAQ, re-ranks the stocks on its NASDAQ-100 Index list every year in December. NASDAQ OMX Group, Inc. (NASDAQ:NDAQ) reports that NASDAQ-100 Index has returned 2,040 percent since it began.
In a press release making the announcement, NASDAQ OMX Group, Inc. (NASDAQ:NDAQ) Executive Vice President John L. Jacons said, “The securities being added to the NASDAQ-100 Index will join Facebook, Costco, Apple, Google and other household names that are leading the new economy forward. Our objective re-ranking process ensures the NASDAQ-100 remains a relevant investable index that is the underlying benchmark for about 7,100 products in 22 countries with a notional value of about $1 trillion.”
Removal of Research In Motion Limited (TSE:RIM) (NASDAQ:RIMM) comes at a difficult time for the company and its stock. Shares of Research In Motion Limited (TSE:RIM) (NASDAQ:RIMM) traded for more than $15 per share about a year ago before dipping down closer to $5 per share. The stock price began to make a comeback in recent weeks, but today it’s starting to slide again on the news of its removal from the NASDAQ-100 Index. Shares are down more than 1 percent since the market opened.
The removal of Netflix, Inc. (NASDAQ:NFLX) comes on the heels of the company’s big announcement that it will have access to exclusive streaming video content from The Walt Disney Company (NYSE:DIS). However Netflix, Inc. (NASDAQ:NFLX) has seen its problems this year. A licensing deal with HBO didn’t work out, and subscriber additions were disappointing this year.
This morning in early trades shares of Netflix, Inc. (NASDAQ:NFLX) began to fall on the news of the company’s removal from the NASDAQ-100 Index. They dropped more than 1 percent to around $92 per share. Less than a year ago investors were paying more than $120 per share.
Here’s the complete list of changes to the NASDAQ-100 for this year:
Analog Devices, Inc. (NASDAQ:ADI)
- Catamaran Corp (NASDAQ:CTRX)
- Discovery Communications Inc. (NASDAQ:DISCA) (NASDAQ:DISCA)
- Equinix Inc (NASDAQ:EQIX)
- Liberty Global Inc. (NASDAQ:LBTYA) (NASDAQ:LBTYB)
- Liberty Media Corp (Capital) (NASDAQ:LMCA)
- Regeneron Pharmaceuticals Inc (NASDAQ:REGN)
- SBA Communications Corporation (NASDAQ:SBAC)
- Verisk Analytics, Inc. (NASDAQ:VRSK)
Western Digital Corp. (NASDAQ:WDC)
Apollo Group Inc (NASDAQ:APOL)
- Electronic Arts Inc. (NASDAQ:EA)
- Flextronics International Ltd. (NASDAQ:FLEX) (FRA:FXI)
- Green Mountain Coffee Roasters Inc. (NASDAQ:GMCR)
- Lam Research Corporation (NASDAQ:LRCX)
- Marvell Technology Group Ltd. (NASDAQ:MRVL)
- Netflix, Inc. (NASDAQ:NFLX)
- Research In Motion Limited (TSE:RIM) (NASDAQ:RIMM)
- Verisign, Inc. (NASDAQ:VRSN)
Warner Chilcott Plc (NASDAQ:WCRX)