Dow Jones Reaches All-Time High

By Harrison Furman

The Dow Jones last Friday hit an all-time of 25,803 points. The exchange consists of 30 industrially diversified stocks. The 30 Stocks that are part of the Dow Jones are below.

Stock values as of last Friday:

  1. 3M $244.47
  2. American Express $100.97
  3. Apple $177.09
  4. Boeing $336.21
  5. Caterpillar $170.30
  6. Chevron $133.60
  7. Cisco $40.87
  8. Coca-Cola $46.15
  9. Disney $112.47
  10. DowDuPont Inc $75.41
  11. Exxon Mobil $87.52
  12. General Electric $18.76
  13. Goldman Sachs $257.03
  14. Home Depot $196.42
  15. IBM $163.14
  16. Intel $43.24
  17. Johnson & Johnson $145.76
  18. JP Morgan Chase $112.67
  19. McDonald’s $173.57
  20. Merck $58.66
  21. Microsoft $89.60
  22. Nike $64.67
  23. Pfizer $36.54
  24. Procter & Gamble $89.61
  25. Travelers Companies Inc $134.73
  26. United Technologies $136.58
  27. United Health $228.64
  28. Verizon $51.86
  29. Visa $120.09
  30. Wal-Mart $100.87

These stocks are from the retail, financial, Pharma, tech, utilities & energy, and many more industries. The reason the Dow has these 30 well-known companies in a portfolio or index is to determine the overall growth of the economy.

In the last three months, the Dow Jones has gone up about 2,900 points, or 12.82 percent, while over the past six months, it has gone up about 4,200 points, or 19.25 percent. Over the past year, it has gone up about 5,700 points, or 29.76 percent.

The Dow Jones started in 1985 at about 1,200 points. If we take the average return over the last 32 years, the return would be about a 59 percent increase annually since its inception.

If we look to be more conservative, we should look back the last 10 years, which included the real estate bubble. The market was about 12,601 points and has increased about 13,200 points over a decade, or an increase of 107 percent. The average return of Dow Jones was about 10 percent annually, which is good when averaged out over the aforementioned time period.

To make it easier to understand, if you invested $100 a decade ago you will have over $200 dollars now. This demonstrates that the U.S. financial markets have been doing very well over the past 10 years.

The growth of Dow Jones has been very good for the financial markets and how the index is diversified shows that it represents the continued growth of all the different industries in America.

About Harrison Furman 7 Articles
Harrison Furman is currently a senior financial analyst for MGM. He graduated from George Washington University with a bachelor's degree in Business Administration. He is studying to obtain his Masters in Business Administration from American University, which is expected to be completed by Spring 2019. Harrison was on the Board of Trustees for Atlantic Cape Community College and has served as an adjunct professor teaching business classes at the college.