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Apple Stock Splits 7-for-1, Opens at $92 With All-Time High Just Over $100

MacRumors

MacRumors

macrumors bot
Original poster
Apr 12, 2001
63,549
30,869



This morning, Apple's stock underwent a 7-for-1 split, awarding 6 additional shares to each shareholder of record at 5PM PDT on Friday. Simultaneously, the price of the stock has been divided by 7 and should open around $92 after closing on Friday at $645.

Apple's all-time high stock price, reached in September 2012, is $705 or $100.72 post-split.

aaplshare.jpg
Apple's stock has split on three previous occasions, on a 2-for-1 basis, in 1987, 2000 and 2005. Apple has said that it wanted to make its stock "more accessible" to a wider variety of customers, but Apple could also be aiming for inclusion in the Dow Jones Industrial Average index. The Dow is price-weighted, meaning Apple's previous stock price of nearly $700 would have resulted in an significant reweighting of the index and a $92 would put it in the right price range for inclusion.

As the most valuable publicly traded company in the world, with a market cap of more than $550 billion, Apple could be a logical addition for the index. It would join a number of other high-tech companies listed including Cisco, IBM, Intel, Microsoft, AT&T and Verizon.

Apple went public on December 12, 1980 for $22 per share. Accounting for its four stock splits, Apple's stock cost roughly $0.39286 per share at IPO, giving a return of roughly 23,400% over 33.5 years.

Article Link: Apple Stock Splits 7-for-1, Opens at $92 With All-Time High Just Over $100
 
Article Link
https://www.macrumors.com/2014/06/09/apple-stock-7-1-split/
Yvan256

Yvan256

macrumors 603
Jul 5, 2004
5,081
998
Canada
Apple went public on December 12, 1980 for $22 per share. Accounting for its four stock splits, Apple's stock cost roughly $0.39286 per share at IPO, giving a return of roughly 23,400% over 33.5 years.
Click to expand...

That much, eh? Well, let me get into my time machine and... oh wait.
 
TantalizedMind

TantalizedMind

Suspended
Feb 5, 2007
889
520
For the past month I've tried to learn a little bit about stocks. So Apple's stock split 7-1. So if you owned APPLE stock before the split at $645.... did that $645 get split 7 times to make $4,515 or did all it do is was split your one share at $645 into 7 shares?

I'm assuming the latter since $645 divided by 7 is $92.
 
apunkrockmonk

apunkrockmonk

macrumors 6502a
Nov 20, 2005
769
16
Rochester, NY
TantalizedMind said:
For the past month I've tried to learn a little bit about stocks. So Apple's stock split 7-1. So if you owned APPLE stock before the split at $645.... did that $645 get split 7 times to make $4,515 or did all it do is was split your one share at $645 into 7 shares?

I'm assuming the latter since $645 divided by 7 is $92.
Click to expand...

Yes, the latter is correct.
 
the8thark

the8thark

macrumors 601
Apr 18, 2011
4,628
1,735
TantalizedMind said:
For the past month I've tried to learn a little bit about stocks. So Apple's stock split 7-1. So if you owned APPLE stock before the split at $645.... did that $645 get split 7 times to make $4,515 or did all it do is was split your one share at $645 into 7 shares?

I'm assuming the latter since $645 divided by 7 is $92.
Click to expand...

Yep. You have the same value. Instead of split over a single share, it's split over 7 shares.

A round number example is: $700 a share before the split equals $100 a share after the split. You have the same $ value worth of shares, just your total $ value is split over a larger number of shares now.

I guess this is done to get new investors into Apple. At nearly $700 a share it's a hard ask, but at a touch under $100 a share, that's was easier to get into.
 
A

abhishake

macrumors regular
Jul 14, 2005
155
16
poohat1000 said:
not clued up on stocks n stuff so can't tell... is this sarcasm? surely that'd be insane
Click to expand...

When a stock splits it doesn't change anything for the market value of the company itself. Now $1 moves the stock as much as $7 would've in the past.
 
nfl46

nfl46

macrumors G3
Oct 5, 2008
8,350
8,704
I'm sure some stockholder woke up this morning, saw Apple stock so low and completely freaked out! :eek: Lol.
 
2

2457282

Suspended
Dec 6, 2012
3,327
3,015
Not that I was in a position to invest in apple in 1980, but oh man to have bought just 100 shares at 22 a share at IPO. I think that alone would be worth over $500k today.

I need a time machine. Anyone? Please! :D
 
C

cdmoore74

macrumors 68020
Jun 24, 2010
2,413
711
nfl46 said:
I'm sure some stockholder woke up this morning, saw Apple stock so low and completely freaked out! :eek: Lol.
Click to expand...

If your a stockholder you should have the brains to know better. It's been in the news all over the place on websites, TV and newspapers. I don't own Apple stock and I know better. I can only assume that people buying this stock are not mindless followers that will buy anything with Apple on it. Oh wait!
 
nfl46

nfl46

macrumors G3
Oct 5, 2008
8,350
8,704
cdmoore74 said:
If your a stockholder you should have the brains to know better. It's been in the news all over the place on websites, TV and newspapers. I don't own Apple stock and I know better. I can only assume that people buying this stock are not mindless followers that will buy anything with Apple on it. Oh wait!
Click to expand...

Valid point. But there are some rookies out there that don't fully understand how it works.
 
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