Duolingo (DUOL) has been announced as the replacement for Cable One (CABO) in the S&P MidCap 400 index by Dow Jones S&P Indices. This change will take effect before the opening of the market on Monday, April 22. As a result, Cable One will replace M.D.C. Holdings (MDC) in the S&P SmallCap 600 index.
Both Duolingo and Cable One saw an increase in their stock prices overnight in response to this news. Duolingo will now be included in the MidCap 400 index, requiring several funds that track this index to hold DUOL stock. This led to Duolingo’s stock price rising by more than 6%, indicating a movement towards the 50-day moving average. On the other hand, Cable One’s stock is expected to benefit from the change as more funds track the S&P SmallCap 600. This resulted in a 2.9% increase in Cable One’s stock price during late trading.
Japan’s Sekisui House is preparing to finalize its acquisition of homebuilder MDC. For more stock market updates and information, you can follow Ed Carson on Threads at @edcarson1971 and on Twitter at @IBD_ECarson.
In conclusion, this shift in the indices is expected to have an impact on the stock prices of Duolingo and Cable One, as well as M.D.C. Holdings. Investors may want to keep an eye on these developments to make informed decisions about their investments.