Alphabet will replace Verizon Communications in the Dow Jones Industrial Average before the opening of trading on June 29.

S&P Dow Jones Indices, which oversees the venerable 30-stock index, said in a press release that Verizon's low stock price meant it had an "immaterial impact" on the price-weighted index.

Alphabet, the parent of Google, has one of the largest market capitalizations in the world and a stock price of around $350, against about $47 for Verizon. Nike and Verizon have the two lowest prices in the Dow Industrials.

There also will be a change in the S&P 500 as Honeywell Aerospace, a spinoff from Honeywell International, will join the index, replacing Conagra Brands. That change also will come on June 29.

S&P Dow Jones Indices said of the Alphabet addition; "Alphabet's diversified technology and digital services portfolio spans advertising, cloud infrastructure, artificial intelligence, hardware, autonomous mobility, healthcare technology, and media distribution."

"Adding Alphabet will broaden and strengthen the DJIA's exposure to these dynamic areas of the U.S. economy," it said. Both Alphabet and Verizon are classified as communications stocks by S&P Dow Jones.

Honeywell International will remain in the Dow Jones Industrial Average after the spinoff of Honeywell Aerospace later this month.

The Alphabet addition is the first change to the Dow Jones Industrial Average since Nvidia and Sherwin-Williams were added to the index in November 2024, replacing Dow, the chemical company, and Intel.

Most of the major tech leaders -- Alphabet, Microsoft, Apple, Amazon.com and Nvidia -- now are in the Dow Industrials.