How is the Dow divisor calculated?

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How is the Dow divisor calculated?
Aug 5, 2019

To calculate the DJIA, the current prices of the 30 stocks that make up the index are added and then divided by the Dow divisor, which is constantly modified. ... Now, let’s say that one of the stocks in the IMA average trades at $100 but undergoes a 2-for-1 split, reducing its stock price to $50.


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