US Gold Corp (NASDAQ:USAU) is set to be added to the Russell 3000 and Russell 2000 indexes following the conclusion of FTSE Russell’s annual reconstitution later this month.
Membership in the broad-market Russell 3000 Index, which comprises the largest 3,000 US public companies by market capitalization, results in automatic inclusion in the Russell 2000 Index for small-cap firms.
Shares of the Cheyenne, Wyoming-based company jumped almost 14% on Monday morning in New York.
“We believe our preliminary inclusion in the Russell 3000 represents a significant validation of the momentum we’re building at US Gold,” said chairman Luke Norman.
“We’re proud of our team’s ongoing commitment to developing the CK Gold Project in Cheyenne, Wyoming, and continuing to deliver value to our shareholders.”
The company’s shares will also be added to the corresponding growth and value indexes.
FTSE Russell reconstitutes its indexes annually using market capitalization data as of April 30. According to the index provider, roughly $10.6 trillion in assets were benchmarked to its US indexes as of June 2024.
Inclusion in the indexes is often seen as a positive catalyst for companies, potentially increasing visibility and attracting institutional investor interest through passive investment flows.