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To: Eliz2 who wrote (22794)	2/17/1999 9:20:00 AM
From: billwot	Respond to of 27012

Eliz-Whether you buy pre-spilt or post-split, you wind up with the same number of shares for the same amount of money invested. In fact, because of the false perception that splits somehow reduce price, shares often run up immediately after a split, which of course increases your basis cost. I am always eager to see a split in stocks I own because of that, but it doesn't help me get into one that I follow but don't own. Restated, the effect of a split is often to drive prices up, which is good for current holders, but bad for new prospective investors. billwot

To: Eliz2 who wrote (22794)	2/18/1999 12:33:00 AM
From: David M Gambs	Respond to of 27012

Eliz2, You have $8000 to invest. Dell at 80 = 100 shares. Dell splits. You have 200 shares. If you purchase post split: Dell at 40 = 200 shares. As others will point out, quite often the price runs up post split. It quite often stays there. To have a good stock go down into a split means you should probably buy before the split and run up. I bought Dell 1 September 98 - before the 2:1 split then scheduled. It ran up. I sold 75% in January (I was on margin for this). After this split, I will have the same number of shares I originally purchased with a basis 25% of the original. Not bad :) Regards, dmg (Go INTeL Go to $200 - ([post all splits: past, present & future])