“Apple would have to execute one of the largest stock splits on record to lower its share price enough to make the stock more palatable to retail investors,” Vipal Monga writes for The Wall Street Journal.
“For example, if Apple wanted to cut its stock price to roughly $100 a share, it would have to perform a six-for-one split, which would be the third largest on record, according to Standard & Poor’s,” Monga writes. “Only the 10-for-1 splits by Capital Cities/ABC in 1994 and Metromedia in 1983 were larger.”
Read more in the full article here.
MacDailyNews Take: How does making the price more comfortable for less-savvy (and therefore much more fickle) investors help Apple Inc. in the long run? After all, it’s not like they’re under-financed and in need of operating cash.
For those who see the share price as daunting, but still want to get in on Apple: Establish a brokerage account that allows you to buy partial shares and have at it.
Related article:
Analyst: Apple looking at stock split – August 8, 2012
