Last Friday, NASDAQ revealed the results of its yearly shuffle of the NASDAQ-100, and Electronic Arts (EA) is one of the casualties.
The NASDAQ-100 Index is a list of the 100 largest non-financial stocks (think Facebook, Google, Apple, etc.) listed on the NASDAQ Stock Market, and has been going since 1985. Since it ignores financial companies like big banks, the NASDAQ-100 Index is a good target for different kinds of companies that might not be able to make their mark otherwise, like EA.
But this year, ten new stocks have been added – including things like Analog Devices Inc., Discovery Communications Inc., and Western Digital Corporation – which means ten had to go. As well as EA, Netflix and RIM (Research in Motion Limited, the creators of the BlackBerry phone) also lost their places on the list.
With franchises like FIFA under its belt, EA is undoubtedly still a huge company, and its stock is worth an awful lot, but do you think this news means it's on its way out of favour (potentially thanks to things like the weak performance of Medal of Honor: Warfighter)? Or is this just what's bound to happen when other companies start to rise through the ranks?