Invisalign maker Align Technology is among a handful of companies that will be removed from the Nasdaq 100 Index effective prior to the opening of the U.S. Stock Market on December 18, according to news reports.
Annually, companies are added and removed from the index, which comprises the largest nonfinancial companies listed on the Nasdaq Stock Market. Though minimum market capitalization is not required to be included on the Nasdaq 100, several criteria, including that stocks must have an average trading volume of 200,000 shares or more each day, must be met to be included, according to reports.
Benefits to being part of the index include increasing a company’s investor profile and adding trading liquidity, both of which can lead to a company’s stock price rising.
Along with Align Technology, Zoom Video Communications, eBay, Chinese ecommerce company JD.com, Enphase Energy, and luxury sports car company Lucid Group will be removed from the Nasdaq 100.
Meanwhile, DoorDash, U.S. software company Splunk, computer program company MongoDB, Roper Technologies, technology product and service provider CDW, and Coca-Cola Europacific Partners will be added to the index, according to reports.