- Total US equity market capitalization of the broad Russell 3000 Index increased 29% to $75.6 trillion as of the April 30 rank day, driven by continued mega-cap strength alongside a resurgence in small-cap performance.
- Market capitalization breakpoints between large cap (Russell 1000 Index) and small cap (Russell 2000 Index) rose 24% to $5.7 billion, reflecting broad-based growth across market segments.
- Leadership at the top shifted, with Nvidia becoming the largest company, followed by Alphabet, Apple, Microsoft and Amazon.com.
- The “Magnificent Seven” (Apple, Microsoft, Nvidia, Amazon.com, Alphabet, Meta, Tesla) grew 49% since the 2025 reconstitution, reaching a combined $22.4 trillion in company market capitalization.
- Upward mobility was led by Technology and Industrials, which dominate the companies moving from the Russell 2000 to the Russell 1000, highlighting the Russell 2000’s role as a pipeline of emerging leaders from the small-cap universe.
Today, FTSE Russell, a leading global index provider, published its preliminary lists of companies expected to enter or exit the US broad market Russell 3000 Index and the Russell Microcap Index, marking the start of the June 2026 semi-annual Russell US Indexes Reconstitution.
Changes from the June 2026 reconstitution will take effect after US equity markets close on Friday, June 26. The lists of projected additions and deletions for the Russell US Indexes, along with additional details on the reconstitution process, are available on the FTSE Russell website.
Each June, the Russell US Index family is recalibrated to reflect the evolving US equity market. Breakpoints between large, mid, small, and micro-cap segments are updated to capture changes in market capitalization, and companies are reassessed across the investment style spectrum relative to the rest of the companies in the index.
With approximately $12.2 trillion in investor assets benchmarked to or invested in products based on the Russell US Indexes, the Russell Reconstitution culminates in one of the highest-volume trading days of the year across major US equity exchanges, with $217.2 billion traded at the close of the June 2025 reconstitution.
In 2026, the process takes on added significance with the re-introduction of a semi-annual reconstitution schedule.
Fiona Bassett, CEO at FTSE Russell, said:
“The Russell indexes continue to evolve in alignment with the dynamic US equity market. This year’s move to a semi-annual reconstitution marks an important enhancement, ensuring our indexes more responsively reflect changing market dynamics while preserving the transparency, consistency and integrity that market participants rely on. Our ongoing commitment is to deliver benchmarks that faithfully represent their intended segments and support investors in an ever-evolving landscape.”
Catherine Yoshimoto, Director of Product Management for the Russell US Indexes at FTSE Russell said:
“US equity markets broadened over the past year, with improving breadth beyond mega caps reflected in a rebound in small-cap performance alongside continued strength in the Magnificent Seven, supported by technology and AI-driven momentum. Technology and Industrials led movement into the Russell 1000, while companies across several industries replenished the Russell 2000, reinforcing its role as a pipeline for emerging companies.”
US Equity Total Market Growth Powered by Rising Mega-Cap Companies Alongside Small-Cap Resurgence
Preliminary results for the June 2026 reconstitution show a significant expansion in the US equity market, with the total market capitalization of the Russell 3000 Index rising 29% from $58.4 trillion at last year’s rebalance to $75.6 trillion as of the April 30 rank day.
The market capitalization breakpoint separating large-cap companies in the Russell 1000 Index from small-cap companies in the Russell 2000 Index increased by 24% to $5.7 billion, reflecting broad-based growth across market segments.
At the lower end, the smallest company in the Russell 2000 Index had a market capitalization of $146.4 million, up nearly 23% from 2025. The smallest company in the Russell 1000 Index was $2.7 billion (reflecting banding), while the +/-2.5% cumulative market cap percentile band between the indexes widened in dollar terms, highlighting the growing dispersion between the largest and smallest companies in the investable US equity market.
Largest 10 Companies Reshuffle as Nvidia Takes the Top Spot
The composition and rankings of the ten largest US companies shifted meaningfully over the past year, highlighting continued concentration at the top of the market. Nvidia rose to become the largest company, with its market capitalization surging 82.5%. Alphabet delivered the strongest year-over-year increase among the top 10, climbing from fifth to second place. Apple and Microsoft moved down to third and fourth, respectively, after occupying the top two positions in 2025.
Nine of the ten largest companies remained in the index, with Walmart replacing Eli Lilly as the only new entrant. The scale of these companies continued to expand significantly, with all ten largest companies now exceeding $1 trillion in market capitalization, including five above $2 trillion and four above $3 trillion. By comparison, in 2025, seven companies exceeded $1 trillion and only two surpassed $2 trillion.
The gap between the largest companies and the broader market widened further, with the combined market capitalization of the top ten rising approximately 48% to $26.4 trillion, up from $17.9 trillion a year ago.
The “Magnificent Seven”—Apple, Microsoft, Nvidia, Amazon.com, Alphabet, Meta, and Tesla—also saw substantial growth, with their combined market capitalization increasing 49% to $22.4 trillion, from $15.0 trillion in 2025. This concentration continues to increase index market sensitivity to a small group of mega-cap companies.
Largest 10 Companies in the Russell 3000 Index / Russell 1000 Index by Size (Total Company Market Capitalization)
| Company | 2026 Rank by size | 2026 Total Market Cap | 2025 Rank by size | 2025 Total Market Cap | Change from 2025 |
|---|---|---|---|---|---|
| Nvidia | 1 | 4,849.6 | 3 | 2,657.6 | 82.5% |
| Alphabet | 2 | 4,662.2 | 5 | 1,927.0 | 141.9% |
| Apple | 3 | 3,983.7 | 1 | 3,192.2 | 24.8% |
| Microsoft | 4 | 3,029.2 | 2 | 2,937.8 | 3.1% |
| Amazon.com | 5 | 2,851.3 | 4 | 1,957.1 | 45.7% |
| Broadcom | 6 | 1,976.4 | 9 | 905.0 | 118.4% |
| Meta | 7 | 1,553.3 | 6 | 1,385.9 | 12.1% |
| Tesla | 8 | 1,433.3 | 8 | 908.8 | 57.7% |
| Walmart | 9 | 1,051.6 | 11 | 778.1 | 35.1% |
| Berkshire Hathaway | 10 | 1,021.5 | 7 | 1,150.4 | -11.2% |
| Largest 10 companies | 26,412.1 | 17,874.0 | 47.8% |
Additions Led by Technology and Industrials
Based on preliminary results, 62 companies are expected to be added to the Russell 1000 Index at the conclusion of the June 2026 reconstitution. Of these, 43 are graduating from the Russell 2000 Index, four are initial public offerings (IPOs), and 15 are entering from outside the Russell US Indexes universe after meeting index eligibility criteria, including voting rights, US nationality requirements, and eligible security types.
Technology and Industrials account for the largest share of new Russell 1000 constituents, with 18 additions each. These are followed by Health Care (7), Telecommunications and Basic Materials (4 each), Energy and Financials (3 each), Utilities and Real Estate (2 each), and Consumer Staples (1).
At the same time, 237 companies are being added to the Russell 2000 Index. This includes 37 companies moving down from the Russell 1000 Index and 82 transitioning up from the Russell Microcap Index, alongside newly eligible entrants. Overall, additions to the Russell 2000 are primarily concentrated in Health Care, followed by Technology, Industrials, and Consumer Discretionary.
Seventeen IPOs are being added to the Russell 2000 Index, led by eight Health Care companies, with two each in Consumer Discretionary, Industrials, Basic Materials, and Energy, and one in Consumer Staples. A further 101 companies are joining from outside the Russell US Indexes universe after meeting eligibility criteria, including voting rights, nationality, and security type.
Russell Style Indexes: Large-Cap Growth Narrowly Leads, While Small-Cap Value Outperforms; Dynamic Stocks Extend Gains Over Defensive
Large-cap growth stocks narrowly outperformed their value counterparts over the one-year period ended April 30, 2026, with the Russell 1000 Growth Index returning 30.6% compared to 29.3% for the Russell 1000 Value Index. In contrast, small-cap value stocks delivered the strongest performance, with the Russell 2000 Value Index returning 46.3% versus 42.6% for the Russell 2000 Growth Index.
The Russell US Style Indexes provide an objective framework for measuring growth- and value-oriented performance by assigning weights to companies based on their relative style characteristics. While most companies are classified as either fully Growth or fully Value, some exhibit a blend of both attributes.
Index membership shifts reflected evolving company fundamentals and market leadership. Alphabet and Advanced Micro Devices were among the largest removals from the Russell 1000 Value Index as they transitioned to 100% Growth. Conversely, Apple and Microsoft were notable additions to the Value Index, moving from fully Growth classifications to a blend of Growth and Value. Within Growth, Micron Technology and Sandisk were among the most significant additions, both shifting from Value to fully Growth, supported by continued strength in semiconductor and hardware segments amid ongoing AI-driven demand.
The Russell US Stability Indexes introduce a third dimension of style, differentiating between more stable (Defensive) and more economically sensitive (Dynamic) companies. Reflecting market conditions over the past year, the Russell 1000 Dynamic Index significantly outperformed the Russell 1000 Defensive Index, returning 42.6% compared to 18.6%.
Overall, the June 2026 reconstitution reflects a US equity market characterized by continued strength among mega-cap leaders alongside improving breadth across small-cap segments. Shifts in index membership, industry composition, and style classifications highlight evolving market leadership and the dynamic nature of company fundamentals across market capitalizations.
June 2026 Semi-Annual Russell Reconstitution Schedule
Today’s posting of the preliminary lists of additions and deletions is the first public step in the June 2026 reconstitution process for the Russell US Indexes. Updates to the lists will be posted to the FTSE Russell website after US market close on May 29, June 5, June 12 and June 18. If any changes to the publicly announced membership lists occur during the query period, which closes June 5, technical notices will be published on the FTSE Russell website. The June 2026 Russell Reconstitution takes effect and the newly recalibrated indexes begin to operate after the US market close on Friday, June 26, from the open of US markets on Monday, June 29.
Although previously rebalanced on an annual basis, effective this year, the reconstitution of the Russell US Indexes will again be held semi-annually in June and December. This decision is based on data analysis and follows a market consultation undertaken in response to the evolution of market dynamics. More on the Russell US Indexes moving to a semi-annual reconstitution this year can be found on the FTSE Russell website.
To complete the June 2026 Russell US Indexes Reconstitution, FTSE Russell uses primary exchange closing prices from NYSE and Nasdaq. NYSE-listed stocks utilize NYSE’s auction mechanism while Nasdaq-listed stocks utilize Nasdaq’s “Closing Cross” mechanism to execute shares for each stock at a single price on June 26.
FTSE Russell is excited to celebrate the close of the June 2026 Russell Reconstitution with Nasdaq officials at the June 26 closing bell ceremony.
