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

[MacRumors]

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.

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

 

[heehee]

It's cheap now. I'm going to buy some because it's going back to $700/share.

 

[rei101]

It's cheap now. I'm going to buy some because it's going back to $700/share.

Yeap.

 

[poohat1000]

Yeap.

not clued up on stocks n stuff so can't tell... is this sarcasm? surely that'd be insane

 

[Yvan256]

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.

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

 

[Cali Fornia]

not clued up on stocks n stuff so can't tell... is this sarcasm? surely that'd be insane

are you serious?

 

[mook101]

Forrest Gump just did a giant fist pump!!!!!

 

[jonnysods]

How funny is that. 4 years ago I bought one share to put up on my wall.

Now I have 7! And I get a sweet $2.25 per quarter in my bank

 

[dannyyankou]

Google doesn't know how to handle this.

 

[TantalizedMind]

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.

 

[the8thark]

Google doesn't know how to handle this.

Image

In Google's defence, Google does not know how to handle many things.

 

[apunkrockmonk]

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.

Yes, the latter is correct.

 

[MacSince1990]

Google doesn't know how to handle this.

Image

Google knows exactly what it's doing

----------

not clued up on stocks n stuff so can't tell... is this sarcasm? surely that'd be insane

Yeah, they're kidding.

 

[the8thark]

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.

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.

 

[dannyyankou]

Better.

 

[abhishake]

not clued up on stocks n stuff so can't tell... is this sarcasm? surely that'd be insane

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]

I'm sure some stockholder woke up this morning, saw Apple stock so low and completely freaked out! Lol.

 

[mactumors]

Google doesn't know how to handle this.

Image

That's probably why the price is up. Trading bots jumping at the opportunity to get Apple stock for 85% off.

 

[malexandria]

Confused

so does this mean I can buy Apple stock for $100 now?

 

[2457282]

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!

 

[1Zach1]

so does this mean I can buy Apple stock for $100 now?

$92.22, yes.

 

[cdmoore74]

I'm sure some stockholder woke up this morning, saw Apple stock so low and completely freaked out! Lol.

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!

 

[rei101]

so does this mean I can buy Apple stock for $100 now?

Yes, they are now $92, more accessible to everyone.

 

[nfl46]

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!

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

 

[tito2020]

Where are you jim cramer? lol