The Dow Jones Industrial Average to date
The chart below depicts the constituents and performances of the Dow Jones Industrial Average (or DJIA) (DJIA-INDEX). In this series, we’ll take a look at the DJIA and some of its outperformers.
The DJIA (DIA) includes 30 large, eminent US companies encompassing all industries except transportation and utilities. The index has generated a YTD (year-to-date) return of 10.5%. It offers a dividend yield of 2.4% at a PE (price-to-earnings) ratio of 20.4x. Its performance for the week ended July 28, 2017, was mainly driven by the healthcare, telecommunications, financials, and consumer cyclical sectors, offset by the energy, consumer non-cyclical, technology, and industrials sectors.
The top five movers with respect to percentage change as of July 28, 2017, were as follows:
- Chevron (CVX)
- UnitedHealth Group (UNH)
- American Express (AXP)
- Travelers Companies (TRV)
- Intel (INTC)
The bottom five movers with respect to percentage change on the same day were as follows:
Of the 30 stocks, 15 of them rose, and 15 fell. Boeing (BA), Apple, McDonald’s, Visa (V), and Caterpillar (CAT) have been the star performers on a YTD basis. Their returns have ranged from 23.0%–55.0%. The stocks with negative returns on a YTD basis include General Electric, IBM (IBM), ExxonMobil, Verizon Communications (VZ), and Chevron. Their returns have ranged from -9.8% to -18.0%. Goldman Sachs Group (GS) and Intel have also generated negative returns on a YTD basis. The chart below depicts the dividend yields of the DJIA constituents.
Verizon has been the highest dividend yielder at 4.8%. Ten companies of the 30 have generated a dividend yield of more than 3.0%. Below are the DJIA members that have beaten the DJIA with their dividend yields:
- General Electric
- Cisco Systems
- Procter & Gamble
- Johnson & Johnson
Visa (V) offers the lowest dividend yield of less than 1%. The iShares Select Dividend (DVY) has the highest exposure to utilities. It offers a dividend yield of 3.0% at a PE ratio of 20.7x. The Schwab US Dividend Equity ETF (SCHD) offers a dividend yield of 2.8% at a PE ratio of 20.6x. It has the highest exposure in consumer non-cyclical, followed by technology.