Key Takeaways Carvana, CRH, and Comfort Systems USA shares climbed Monday after S&P Dow Jones Indices said the stocks are set to join the S&P 500. Shares of used car retailer Carvana (CVNA) were up over 10% in recent trading, while construction materials provider CRH (CRH) jumped 6%, and mechanical and electrical services company Comfort Systems USA (FIX) added about 2%. (Read our daily markets coverage here.) Stocks that are added to major indexes like the S&P 500 often benefit from the move, as it may be ...

Core Insights - The S&P 500's quarterly rebalancing on December 22 includes Carvana, marking a significant and unexpected recovery for the company [1][5] - Carvana's inclusion in the index is notable given its near-collapse in 2022, highlighting a remarkable turnaround in its business performance [2][10] - Following the announcement, Carvana's stock surged nearly 10% in after-hours trading, contributing to a 97% year-to-date gain and nearly 30% increase in the past month [3][4] Company Performance - Carvana is experiencing record profits and significant unit expansion, positioning itself for continued growth [3][10] - The addition of Carvana to the S&P 500 indicates that it has reached a scale that attracts institutional investment, enhancing its market visibility and trading volume [9][10] Index Changes - Alongside Carvana, several companies are being removed from the S&P 500, including CRH plc, Comfort Systems USA, LKQ Corp., Solstice Advanced Materials, and Mohawk Industries [6][8] - The reshuffling of the index reflects ongoing changes in market dynamics and company performances [5][6]

Core Insights - Mohawk Industries, Inc. is one of the largest flooring manufacturers globally, offering a diverse range of products for residential and commercial use [1][2] - The company operates with a vertically integrated model, covering design, manufacturing, distribution, and sales, and has a market capitalization of $8.03 billion [2] Financial Performance - Mohawk is expected to report a profit decline of 8.3% year-over-year for Q3 2025, with an anticipated profit of $2.66 per diluted share [3] - For the fiscal year 2025, the profit is projected to decrease by 6.2% annually to $9.10 per diluted share [4] - The company reported net sales of $2.80 billion for Q2, slightly exceeding analyst expectations of $2.79 billion, despite a 7.7% drop in adjusted EPS to $2.77 [7] Stock Performance - Over the past 52 weeks, Mohawk's stock has decreased by 18.3%, while it has increased by 5.9% year-to-date [5] - In comparison, the S&P 500 Index has risen by 17.2% over the same 52-week period [5] - The company has underperformed within the consumer cyclical sector, where the Consumer Discretionary Select Sector SPDR Fund has gained 21.1% over the past year [6]