Chart of the Day - Thursday, March 7, 2024
March 7, 2024
🏆 Today’s Chart of the Day was shared byTodd Sohn (@Todd_Sohn).
- $NVDA has continued to print all-time highs, rising another +4.5% today. It’s rapidly gaining weight after eating everyone’s lunch.
- Its current weight in the S&P 500 is 5.1%, making it the third-largest component behind $AAPL and $MSFT. Todd points out that it’s larger than the entire Energy sector (red) and almost as large as $AAPL (light blue).
- $NVDA’s growing influence in the S&P 500 has helped push the index to new highs, while other Mega-Caps ($AAPL) correct beneath the surface. Breadth expansion has also helped bolster the index, but that’s also healthy.
The takeaway: $NVDA could soon surpass $AAPL as the second-largest stock. Its continued rise has allowed other mega-caps to correct without impacting the S&P 500.