Warren,
First, I would like to point out that I did not say Intel was going to split. Only that if they were to split, currently they only have the stock for a 3:2 split. My discourse was in response to those who were talking a 2:1 in the very near future.
A 3:2 split would not necessarily be an undersible thing. It depends on where the company wants to see the stock selling. Over the last few splits, Intel has targeted the share price to be around $60 post split.
The last split was announced in March or April (I believe) of 1995. The split took place on June 16th of that year. I believe you had to hold the stock by 1 May 1995 to be eligible for the split. I believe Intel already had the authorized shares necessary for the last split.
The 3:1 rumor, while appearing to come from an Intel employee, is just rumor. This person says he is in Oregon and that this rumor is going around Corporate - which is in Santa Clara, CA. I would treat this one with a grain of salt at this time.
Further, Intel has said it would issue, "No forward looking statements", until a re-evaluation after the November election. They appear to want to protect themselves from any lawsuit that may arise out of passage of prop. 211. If this prop. is defeated, I would look for Intel to quickly change the policy and get a 'forward looking statement" issued.
This 'employee' may be opening Intel to a lawsuit if prop. 211 passes and a 3:1 split does not take place.
Regards,
dmg |
