The speculation of earlier this week was confirmed: Facebook will be added to the Nasdaq 100 Index next week, as Nasdaq parent Nasdaq OMX Group announced that the social network’s stock will replace Infosys on the index before the start of trading Dec. 12.
On that date, Infosys will leave Nasdaq for the New York Stock Exchange.
Bloomberg reported that Nasdaq reduced its waiting period to include Facebook in the Nasdaq-100 Index as part of negotiations prior to the social network’s May 18 initial public offering, when the company was in the process of deciding between Nasdaq and the NYSE.
Robert W. Baird & Co. Analyst Colin Sebastian told Bloomberg:
And Ipox Schuster Founder Josef Schuster told Bloomberg:
It will be supported till Dec. 12 by systematic buying, then after, it may give away the short-term gains. Facebook has traded pretty strongly over the past five or six weeks, and it will continue to outperform the Nasdaq 100. The fact its inclusion is coming up will reinforce its outperformance versus the Nasdaq 100.
Readers: Do you think Facebook’s addition to the Nasdaq 100 Index will affect its share price?