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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

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.


Image: Meta