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This graphic shows how the new S&P 500 companies added in 2024 have performed since their start date, as of year-end (Dec. 31, 2024).
Note that Amentum Holdings, the 12th addition of 2024, is not included in this graphic because it was also removed during the same year on Dec. 23.
7/12 had negative returns. That must be extremely disappointing
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I've always said that IPOs are gambling! Sometimes it results in big gains, but there is also a big risk of losses. It often happens that companies do an IPO to line the pockets of the original founders.
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But these companies are well beyond IPO I thought.
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That's right! I think it gave me a brain crush, I assumed that to enter the SP500 is because they had made an IOP. Which is totally wrong, companies are always entering and leaving the index.
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