18.01.2025 12:00:00
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Possible Stock Splits in 2025: 2 Artificial Intelligence (AI) Giants Up 677% and 797% Over the Last Decade to Buy Now
Companies will commonly split their stock after a strong run-up in price. While it doesn't change any of the underlying fundamentals of the company, it's a strong signal from management that it believes the stock will continue moving higher. As a result, many investors buy shares immediately following a stock-split announcement and continue to buy well after the split executes.But there's more to be gained by focusing on the businesses executing at such a high level their stocks can't help but increase in price to the point where it makes sense for a split. They can reward shareholders whether management decides to split shares or not. If a split does materialize, that could add some extra momentum to the stock price, helping to make for a great year of returns.Meta Platforms (NASDAQ: META) and Microsoft (NASDAQ: MSFT) have seen their share prices climb 677% and 797%, respectively, over the last decade. Neither has split its shares in that time and their share prices now stand firmly in the mid-three figures. Considering the outlook for both businesses and their current stock valuations, a stock split could make sense for both of them in 2025.Continue readingWeiter zum vollständigen Artikel bei MotleyFool
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