Meta’s 450% Surge May Bring the Next Stock Split
Meta is the only Magnificent Seven member never to split stock
Nvidia’s recent split has put the practice back in focus
Meta’s recent stock fluctuation
Meta’s 450% Surge May Bring the Next Stock Split
Meta is the only stock in the so-called Magnificent Seven that hasn’t ever split shares.#meta #stock #markets pic.twitter.com/NPIcrG8IXr— The_Journalbiz (@the_journalbiz) June 11, 2024
Bloomberg chart;Meta
Meta is the only stock in the so-called Magnificent Seven that hasn’t ever split shares. And, though the stock is off all-time highs hit in April, it’s up more than 450% from a 2022 trough.
Trading at more than $500 a share, “Meta is ripe for a split,” said Ken Mahoney, president of Mahoney Asset Management, referring to what’s seen as a key level for investors. The stock has benefited from appetite for AI exposure, buybacks and the introduction of a dividend in the past year.
- Meta shares slipped as much as 0.7% in early trading Tuesday.
Splitting shares doesn’t change the underlying fundamentals of a company, but does lower the price per share.
This can make a stock more appealing for smaller retail investors and employees, who may otherwise be deterred by high share prices. It could also make top technology stocks more likely candidates for potential inclusion in the price-weighted Dow Jones Industrial Average — currently, no stock in the index trades above $500 a share.
