Nasdaq Composite Index

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NASDAQ Composite Index

An index of all common stock that trade on NASDAQ. Approximately 4000 stocks are included in the NASDAQ Composite Index. This index was established in 1971.

Nasdaq Composite Index

An index that indicates price movements of securities in the over-the-counter market. It includes all domestic common stocks in the Nasdaq System (approximately 5,000 stocks) and is weighted according to the market value of each listed issue. The Index was initiated in 1971 with a base of 100. Specialized industry indexes are also published.

Nasdaq Composite Index.

The Nasdaq Composite Index tracks the prices of all the securities traded on the Nasdaq Stock Market.

That makes it a broader measure of market activity than the Dow Jones Industrial Average (DJIA) or Standard & Poor's 500 Index (S&P 500).

On the other hand, many computer, biotechnology, and telecommunications companies are listed on the Nasdaq. So the movement of the Index is heavily influenced by what's happening in those sectors.

The Index is market capitalization weighted, which means that companies whose market values are higher exert greater influence on the Index. Market capitalization, or value, is computed by multiplying the total number of existing shares by the most recent sales price.

So, for example, if a stock with 1 million shares increases $3 in value, it has a greater impact on the changing value of the Index than a stock that also increases $3 but has only 500,000 shares.

References in periodicals archive ?
Fidelity Nasdaq Composite Index Tracking Stock Fund (NASDAQ:ONEQ), providers of financial services, released on Thursday a quarterly dividend of USD0.
Providers of financial services, Fidelity Investments reported on Thursday that Fidelity Nasdaq Composite Index Tracking Stock Fund (NASDAQ:ONEQ) will pay a net investment income dividend of USD0.
M2 EQUITYBITES-March 16, 2012-Fidelity Nasdaq Composite Index Tracking Stock Fund announces dividend of USD0.
The Standard & Poor's 500 and the tech-heavy Nasdaq Composite index also produced healthy gains of 23.
M2 EQUITYBITES-June 17, 2011-Fidelity Nasdaq Composite Index Tracking stock announces USD0.
M2 EQUITYBITES-March 18, 2011-Fidelity Nasdaq Composite Index Tracking Stock announces dividend of USD0.
The increase in the NASDAQ composite index doubled the rise of the Dow Jones Industrials, New York Stock Exchange Composite and the Standard & Poor's 500 in the same nine-month period.