Shares of Palo Alto Networks Inc. rallied in the extended session Friday after S&P Dow Jones said it would include the cybersecurity platform company’s stock in the S&P 500 index.
Palo Alto Networks
shares surged as much as 5% in after-hours trading, following the announcement that Palo Alto Networks will replace Dish Network Corp.
on the S&P 500
The move will happen June 20, following the Juneteenth holiday on June 19, in a quarterly rebalancing of the index.
Palo Alto Networks, which recently reported earnings and sees AI transforming the software industry over the next 12 months, has seen its shares rally 55.7% year to date, resulting in a market cap of $66.44 billion. The S&P 500 has gained 11.5% on the year.
Dish shares declined nearly 3% after hours after being demoted to a different S&P index. Shares experienced a 16.2% rally in the regular session Friday, following a report that Amazon.com Inc.
is in talks to offer mobile phone service free to Prime members.
Dish will replace skin-care device maker Cutera Inc.
on the S&P MidCap 400 index
S&P said, noting that the changes are to “ensure each index is more representative of its market capitalization range.” Dish shares have fallen 48% this year, resulting in a market cap of $3.89 billion.
After rising 1.1% to close Friday at $17.15, Cutera shares fell more than 5% after hours. At Friday’s close, shares were already down 61.2% year to date as the company has undergone a leadership shake-up, giving the company a market cap of $340 million, according to FactSet data.
Other changes to the S&P’s smaller cap indexes also set other stocks into after hours motion late Friday.
Shares of Planet Fitness Inc.
Zoominfo Technologies Inc.
and BWX Technologies Inc.
moved 4% higher after hours Friday as S&P moved the stocks to its midcap index.
Meanwhile, shares of Crown Holdings Inc.
Graphic Packaging Holding Co.
and Wesco International Inc.
all rose at least 2% or more on their midcap inclusion.
Shares of PetMed Express Inc.
Children’s Place Inc.
and Zumiez Inc.
and LendingTree Inc.
all fell more than 3% late Friday on their scheduled removal from the small-cap index.