Twilio will replace Amedisys in the S&P MidCap 400 on August 19 after Amedisys was acquired by UnitedHealth Group in a deal completed on August 14. This change will be effective prior to the opening of trading on the specified date.
On August 19, Twilio Inc. (NYSE: TWLO) will join the S&P MidCap 400 index, replacing Amedisys Inc. (NASD: AMED). This change will take effect prior to the opening of trading on the specified date [1].
The transition is a result of UnitedHealth Group Inc. (NYSE: UNH), a constituent of the S&P 500 and S&P 100, acquiring Amedisys in a deal completed on August 14. This acquisition led to the reconstitution of the S&P MidCap 400 index, with Twilio taking Amedisys' place [2][3].
The addition of Twilio to the S&P MidCap 400 index comes with potential benefits for investors. The index change reflects Twilio's growing market relevance in the information technology sector. However, the immediate post-announcement performance of Twilio's stock was subdued, with a 0.86% decline on August 14, 2025 [4].
Investors should consider the long-term implications of enhanced index exposure against short-term volatility. The strategy of purchasing high-volume stocks and holding for one day yielded 0.98% average daily returns between 2022 and 2025, underscoring the strategy's sensitivity to market cycles [4].
The acquisition of Amedisys by UnitedHealth Group is part of a broader trend of strategic consolidations in the healthcare sector. UnitedHealth is pursuing this deal to expand its Optum arm and strengthen its position in the fast-growing home-healthcare sector. The deal also highlights the continued momentum of strategic consolidations in healthcare [5].
References:
[1] https://www.prnewswire.com/news-releases/twilio-set-to-join-sp-midcap-400-302530650.html
[2] https://finance.yahoo.com/news/twilio-set-join-p-midcap-220800496.html
[3] https://www.nasdaq.com/press-release/twilio-set-join-sp-midcap-400-2025-08-14
[4] https://www.ainvest.com/news/twilio-post-index-addition-slide-288th-volume-midcap-400-shake-2508/
[5] https://www.nasdaq.com/articles/can-unitedhealth-really-fight-cost-headaches-33b-amedisys-pill
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