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Definitions from WordNet

Definitions from the Web

Stock Split

A stock split is a corporate action in which a company divides its existing shares into multiple shares. The purpose of a stock split is to increase the number of shares available to investors and lower the price per share. It does not change the overall value of the company or the proportionate ownership of existing shareholders.

Sample Sentences:

1. After the stock split, each shareholder received two additional shares for every share they owned.

2. The company's stock split resulted in a decrease in its share price, making it more affordable for small investors to buy.

3. Investors often perceive a stock split as a positive sign, indicating that the company's performance is strong.

4. The announcement of a stock split caused the stock price to surge, as investors anticipated increased market liquidity.

Possible Related Products:

• Stock trading books
• Investment strategies
• Financial market analysis