Caesars, Penn National Miss Out on Nasdaq-100 Promotion

Caesars Entertainment (NASDAQ:CZR) is among the well-known gaming equities that didn’t do the cut of meat to enter the widely observed Nasdaq-100 Index (NDX).

The Nasdaq-100, which is rest home to the 100 largets non-financial stocks trading on that exchange, underwent its annual reconstitution on Friday, adding Captain Hicks stocks piece removing another six. Those alterations will spell into effect on Friday, Dec. 17.

The additions include Airbnb (NASDAQ:ABNB) and electrical vehicle shaper Lucid Group (NASDAQ:LCID) as easily as quaternity technology stocks.

As of Dec. 10, the Nasdaq-100 allocates 17 percent of its weighting to the consumer discretional sector — the chemical group inwards which gaming equities reside. However, the index finger had no gaming exposure prior to the annual rebalance, and that remains the case.

Of the half dozen companies existence removed from the benchmark, only if Charles James Fox Corp. (NASDAQ:FOXA) has a gaming footprint. The media heavyweight owns the FOX Bet firebrand and has rights to acquire 18.6 percent of FanDuel.

Maybe Next Year for Caesars, Penn

Several gaming equities are members of the NASDAQ Next Generation 100 Index — the training strand for the Nasdaq-100.

That mathematical group includes Caesars and William Penn National Gaming (NASDAQ:PENN). Earlier this year, both cassino operators got the nod to bring together to the S&P 500, stoking speculation that a Nasdaq-100 furtherance could follow inward offing. Caesars stockpile attempted to throw upwards its cease of the bargain, as it’s upwardly nearly 20 percent year-to-date, bringing its market place note value $19.78 billion.

Penn, however, slumped 43.31, and is at present the smallest consumer discretional constituent inward the NASDAQ Next Generation 100 Index.

Joining the Nasdaq-100 could get been a potency advance for shares of Caesars and Penn, because dynamic fund managers and index number pecuniary resource that benchmark to that gage are forced to buy newly added stocks. On a worldwide basis, dozens of active and passive cash in hand representing hundreds of billions of dollars inward assets below direction cartroad the index. In the US alone, octonary change traded funds conform to the Nasdaq-100.

DraftKings, Wynn Miss Out, Too

Caesars and Penn National aren’t the only gaming stocks that missed out on the move to the Nasdaq-100. DraftKings (NASDAQ:DKNG) and Wynn Resorts (NASDAQ:WYNN) – formerly a fellow member of the gauge – also didn’t capture approval to conjoin the index.

Those ii stocks combine for virtually 1.4 percent of the aforementioned NASDAQ Next Generation 100 Index.

While the Nasdaq is the listing venue for an miscellanea of other gaming equities beyond the foursome mentioned here, those names aren’t yet large plenty for considerateness for the next multiplication index. That indicates they’re a long right smart from seemly viable contenders for Nasdaq-100 inclusion.