The fact that Apple has done this five times in the past makes this step possible. ![]() However, the stock price is nearing all-time highs again, and that could prompt the management to consider another AAPL stock split to remain an appealing portfolio addition to both retail investors and investment funds in terms of liquidity and per-share value. The Board of Directors of Apple has not indicated that they have the intention to split the company’s stock any soon. These gains cannot be directly linked to the split. Meanwhile, after the 2020 4-for-1 Apple stock split, the price of the shares has increased by 47.3%. Since the 2014 stock split, shares have gained approximately 642% as Apple’s business has performed positively during that period and macroeconomic conditions have also been favourable. Here are the dates and details of those Apple stock splits: However, with the introduction of fractional shares and contracts for difference (CFDs), investors can now get exposure to virtually any listed stock by investing a much smaller initial amount.Īccording to Apple’s investor website, the company’s stock has been split five times. A stock split could incentivise traders to invest in low-priced stocks to build a diversified portfolio. Common reasoning for this operation is that it could make the asset more accessible for retail investors with a lower investment budget. Stock splits are typically performed to increase the stock’s liquidity by lowering its price. If the pre-split price was, hypothetically, $100 a share back then, the post-split price would be $25 – the result of dividing $100 by four. This means that shareholders received three additional shares for every share of the company they owned after the AAPL stock split was completed and owned four shares in total as a result. On 28 August 2020, the company split its stock into four. However, the value of the company’s equity or that of the investors’ holdings is not affected as their ownership is not diluted.Īpple has completed several stock splits in the past. The price of each share is reduced once the operation is completed. ![]() Current stockholders are entitled to receive the newly issued shares in proportion to the number of shares they possess at the moment. After a split, shares are worth a fraction of what they were. US30 US Wall Street 30 (USA 30, Dow Jones)Ī stock split increases the number of a company’s outstanding shares.
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