What is the Dow divisor & how does it work?
Yahoo Finance·2026-02-19 23:41
According to S&P Global , "the divisor has been adjusted a number of times, mostly downward, which means that it has become, in effect, a multiplier." The divisor has become a multiplier because it is less than 1. It first fell into decimal territory in 1986.Twelve, therefore, was the original Dow divisor. Since then, the Dow divisor has been adjusted countless times to account for changes to the index's composition and artificial price moves in the shares of its component companies.When the Dow was created ...