SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Apple Inc.
AAPL 273.53-0.3%2:20 PM EST
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Zen Dollar Round who wrote (168803)4/24/2014 9:58:37 AM
From: Ryan Bartholomew  Read Replies (1) of 213176
 
When the minimum investment climbs to a level that begins to exclude a lot of people, then there could be a gain. There are many people who want to buy two or three thousand dollars worth of stock, so splitting something that climbs to four figures might release some pent up demand in that respect (albeit there are vehicles to invest in partial shares, they're not widely used nor economical). Of course, some (like Warren Buffet) will argue that there's a benefit to excluding those who aren't committed enough to invest larger amounts.

In this case, Apple's price isn't to a level where there are likely many people excluded by the minimum, and dropping to below $100 isn't suddenly going to release demand. There may be other factors for doing it (index weighting, etc.) but it amounts to playing with numbers, not a real gain for the company. Much like the dividends and share buybacks.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News