Benzinga - by Shanthi Rexaline, Benzinga Editor.
Shares of Palantir Technologies, Inc. (NYSE:PLTR) were lower in premarket trading on Monday following its failure to make it to the elite S&P 500 Index.
S&P Dow Jones Indices announced late Friday changes to various S&P indices, coinciding with the quarterly rebalance. Cybersecurity company CrowdStrike Holdings, Inc. (NASDAQ:CRWD), investment management company KKR & Co Inc. (NYSE:KKR) and internet domain registry GoDaddy Inc. (NYSE: GDDY) will be added to the broader gauge before the market opens on trading on June 24, it said.
Palantir did not make the cut for a second straight time despite the frenzied social media calls for its inclusion.
The S&P 500, a market-cap weighted index, is rebalanced quarterly, usually on the third Friday of March, June, September and December.
Index inclusion is typically positive for stocks, as funds holding portfolios mirroring the index will buy them to maintain the respective weightings of the component stocks. The stock will also benefit from increased volume and liquidity due to purchases by index funds and ETFs.
Palantir is being hailed as the “Messi of AI” by bullish analyst Daniel Ives.
In premarket, Palantir fell 2.96% to $22.62, according to Benzinga Pro data.
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Photo: Cory Doctorow from Flickr
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