Gevo Inc. (NASDAQ: GEVO) stock gained by 0.9% at last close while GEVO stock price rises by 8.12% in the after-hours trading session. Gevo’s goal is to make energy-dense liquid hydrocarbons from renewable energy and carbon. These liquid hydrocarbons may be utilized to make drop-in transportation fuels like gasoline, jet fuel, and diesel fuel, all of which have the ability to produce net-zero greenhouse gas emissions when burnt during the product’s entire life cycle.
What is happening?
On June 8, 2021, GEVO announced that as per a preliminary list of additions issued by FTSE Russell on June 4, 2021, GEVO aims to enter the broad-market Russell 3000 Index at the completion of the 2021 Russell indices annual reconstitution, starting after the US market opens on June 28, 2021.
The 4,000 biggest US equities as on May 7, 2021, are captured in the yearly Russell indexes reconstitution, which ranks them by total market capitalization. Inclusion in the large-cap Russell 1000 Index or small-cap Russell 2000 Index, and also the applicable growth and value style indexes, is automatic after one year of membership in the US all-cap Russell 3000® Index. The membership of FTSE Russell’s Russell indexes is determined mostly by objective market-capitalization rankings and style criteria.
Investment managers and institutional investors utilize Russell indexes for index funds and as standards for active investment strategies. Russell’s US indices are used to benchmark about $10.6 trillion in assets. FTSE Russell, a renowned worldwide index provider, produces Russell indexes.
After the results report was released, Gevo shares soared 43% in two days. Investors were less interested in the data and more interested in learning more about Net-Zero 1, a revolutionary project in South Dakota that is planned to produce 45 million gallons of gasoline per year, as well as animal feed and maize oil.