Apple will split its stock four-to-one when trading opens on Aug. 31, 2020
Stock splits are a rarity and in particular for large Dow Jones Global Indexes: INDU heavy weight stocks. With that said, Reuters reports it believes that Apple’s stock split will no be a positive event for the Dow moving forward. That means Apple will have less influence in the Dow.
Stock splits allow a broader base of shareholders to get in on a stock that could not have afforded the larger share price per share. While the value is the same pre-spilt or whenever you buy it, getting in on a stock split allows you to own more. “Each Apple shareholder of record at the close of business on August 24, 2020 will receive three additional shares for every share held on the record date, and trading will begin on a split-adjusted basis on August 31, 2020.” Source : Apple Investor Relations.
“The Company posted quarterly revenue of $59.7 billion, an increase of 11 percent from the year-ago quarter, and quarterly earnings per diluted share of $2.58, up 18 percent. International sales accounted for 60 percent of the quarter’s revenue.” “Our June quarter performance was strong evidence of Apple’s ability to innovate and execute during challenging times,” said Luca Maestri, Apple’s CFO. “The record business results drove our active installed base of devices to an all-time high in all of our geographic segments and all major product categories. We grew EPS by 18 percent and generated operating cash flow of $16.3 billion during the quarter, a June quarter record for both metrics.” Source Apple Investor Relations
Apple’s Board of Directors have declared a cash dividend of $0.82 per share of the Company’s common stock. The dividend is payable on August 13, 2020 to shareholders of record as of the close of business on August 10, 2020.
Photo by Domenico Loia on Unsplash & CWEB Inc.
Apple Inc. (AAPL) CWEB Analysts see the stock after the split as a long term and short term growth and a great addition to one’s portfolio and upward of $1000 by 2021
