Apple's Fifth Stock Split: A Historical Perspective

Tumultuous Times and Stock Splits

Apple has endured some tumultuous times, especially in its early years. The company's stock price has been on a roller coaster ride, with several ups and downs along the way. However, through it all, Apple has managed to weather the storms and emerge as one of the most successful companies in the world.

A History of Stock Splits

One of the ways that Apple has managed to keep its stock price accessible to investors is through stock splits. A stock split is a corporate action in which a company increases the number of shares outstanding by issuing new shares to existing shareholders. This has the effect of lowering the price of each share, making it more affordable for investors to buy. Apple has split its stock five times since its initial public offering (IPO) in 1980. The following table shows the dates and ratios of the splits: | Date | Ratio | |---|---| | June 16, 1987 | 2-for-1 | | February 28, 1998 | 2-for-1 | | June 28, 2000 | 2-for-1 | | February 28, 2005 | 2-for-1 | | August 31, 2020 | 4-for-1 |

Conclusion

Apple's fifth stock split is a testament to the company's continued success. By making its shares more affordable, Apple is opening the door to a wider range of investors. This is a positive development that will likely benefit both the company and its shareholders in the long run.