Palo Alto Networks Shares Surge As It Joins S&P 500: Who Is It Replacing?

Shares of Palo Alto Networks (NASDAQ: PANW) climbed nearly 5% in Monday's pre-market session following a Friday announcement from S&P Dow Jones Indices indicating that the cybersecurity firm is joining the S&P 500 (NYSE: SPY).

What Happened: The Santa Clara, California-based company will replace DISH Network Corp (NASDAQ: DISH) in the broad market index.

Dish will move to the S&P SmallCap 600, replacing Cutera, Inc (NASDAQ: CUTR).

The reshuffling will take effect prior to the opening bell on June 20, corresponding with the quarterly rebalance of the indices, S&P said. The goal is to ensure that each index accurately reflects its respective market capitalization range.

Palo Alto Networks' move comes as the company's shares are ebbing around all-time highs.

The announcement also affects a range of companies across the S&P MidCap 400 and S&P SmallCap 600.

A group of companies - Doximity Inc (NYSE: DOCS), Berry Global Group Inc (NYSE: BERY), and Planet Fitness Inc (NYSE: PLNT) - will join the S&P MidCap 400.

In the S&P SmallCap 600, new entrants include Artisan Partners Asset Management Inc (NYSE: APAM), CarGurus Inc (NASDAQ: CARG), and Schrodinger Inc (NASDAQ: SDGR).

Other companies affected by the reshuffle, like Doximity and Planet Fitness, also saw shares move to the upside on Monday.

PANW Price Action: Shares of Palo Alto Networks are trading 4.71% higher to $227.50, according to data from Benzinga Pro.