Lates News

Bloomberg reported that Strategy could potentially become a candidate for inclusion in the S&P 500 index based on current rules, as its unrealized earnings of $14 billion in the last quarter theoretically meet the earning capacity requirements for the index. According to analysis by Stephens Inc., if approved, passive funds tracking the index will be forced to purchase nearly 50 million shares worth approximately $16 billion at current prices. However, in addition to earnings, the S&P committee will also consider liquidity, profitability, and trading history, as well as industry balance. For example, companies included must be highly liquid U.S. companies with a market value of at least $27 billion, and must have realized positive income in the most recent quarter and the past four quarters.