S&P 500 Constituent Adjustments

Palantir and Dell will be added to the S&P 500 on September 23rd, replacing American Airlines and Etsy, which is the second time a tech stock has been included in the index, following Supermicro and CrowdStrike, underscoring the impact of the AI industry on the financial markets.

Shares of Palantir and Dell jumped after the news, mainly due to the inclusion in the S&P 500, which will require funds and portfolio managers to adjust to changes in constituents, driving buying in the market.

S&P Global said the addition of Palantir and Dell more fully reflects the market influence of high-capitalization companies.Palantir and Dell have market capitalizations of more than $67 billion and $72 billion, respectively, well above the median S&P 500 market capitalization of $33.5 billion.

Tech Stocks' Growing Role in the S&P 500

The constituent reorganization saw a further expansion in the share of technology stocks, reflecting the growing importance of the technology industry in the global marketplace.

In recent years, well-known tech companies including Uber, Ultra Micro Computer and CrowdStrike have been included in the S&P 500, demonstrating the increasing impact of AI technology and improved data processing capabilities on financial markets.

In the future, companies including Coinbase, Apollo Global Management and Workday are also likely to be included in the S&P 500, and the influence of the tech industry in the broader index will be further strengthened.

Palantir: the deep integration of AI and big data

Palantir focuses on big data analytics and the application of generative AI technology, and its growth has been widely noticed by the market. In the first two months of this year, the company's share price rose as much as 83%.

In the second quarter of this year, Palantir's revenue growth rate of 27% year-on-year, which is the company's fourth consecutive quarter of growth. Palantir's chief executive officer, Alex Karp, said Palantir is committed to finding “hidden truths” in the data, and actively provide data management solutions for the government and the military organizations. Palantir is committed to finding the “hidden truths” in data and is actively providing data management solutions to government and military organizations.

With global demand for generative AI technology growing rapidly, the market is confident in Palantir's future as one of the leaders in the AI space.

Dell: Rapid growth in the AI server business

Dell's return to the S&P 500 constituents symbolizes a further consolidation of its position in the financial markets. The company has remained profitable in almost every quarter since 2019 and is riding the AI technology boom.

In the second quarter of this year, Dell's AI server revenue rose 9% year-over-year to $25 billion. The company utilizes NVIDIA's graphics processors and is committed to providing high-performance AI server products to meet the market's demand for AI computing power.