Dusseldorf Alphabet linked its balance sheet figures for the past quarter to the announcement of a stock split. One share becomes 20 on July 15 of this year. Two shares in the Google parent company become 40, three become 60, and so on.
This makes the stock more affordable and easier to trade. The following answers to ten questions clarify what this means for investors, whether they have advantages or disadvantages and why stock splits are not visible in the price chart. It is also about the two most expensive stocks in the world and what the Dow Jones has to do with a stock split.
1. Why do companies do a stock split?
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