Financial Terms / dow jones industrial average

Dow Jones Industrial Average (DJIA)

The Dow Jones Industrial Average is a stock market index representing the performance of the largest publicly traded companies in the United States.

Formula

DJIA = (Σ Stock Prices of 30 Companies) / Divisor

How do I calculate the dow jones industrial average?

The Dow Jones Industrial Average (DJIA) is an important index of the largest U.S. stocks. To calculate the DJIA, the stock prices of the 30 companies are added together and then divided by the divisor. This can be expressed mathematically as: DJIA = (Σ Stock Prices of 30 Companies) / Divisor. To calculate the DJIA using Sourcetable, you will need to input the stock prices of the 30 companies and the divisor. Please note that the Dow Jones Industrial Average is a proprietary index, and the exact methodology and Dow Divisor value are maintained by S&P Dow Jones Indices, the organization that oversees the index. The Dow Divisor is not publicly disclosed and is subject to periodic adjustments.

What is the Dow Jones Industrial Average?

The Dow Jones Industrial Average (DJIA) is a collection of 30 large, publicly-owned blue-chip companies. It is one of the most commonly used benchmarks for measuring the performance of the stock market.

Which companies are included in the Dow?

The 30 companies included in the Dow are well-known companies such as Apple, Microsoft, Walmart, and ExxonMobil.

Key Points

How do I calculate dow jones industrial average?
DJIA = (Σ Stock Prices of 30 Companies) / Divisor
Tracks 30 Large, Publicly-Owned Blue Chip Companies
The Dow Jones Industrial Average (DJIA) is a collection of 30 large, publicly-owned blue-chip companies. Blue-chip companies are often well-known, publicly traded companies with a strong track record of success and profitability. These companies are typically considered to be the most sound investments.
Collection of Stocks
The Dow Jones Industrial Average is a collection of stocks that represent the overall performance of the stock market. The stocks included in the DJIA come from different sectors of the economy, such as technology, finance, and manufacturing. This collection serves as a barometer of how the economy is performing.

Make Better Decisions
With Data

Analyze data, automate reports and create live dashboards
for all your business applications, without code. Get unlimited access free for 14 days.