stock split

noun

: a division of corporate stock by the issuing to existing shareholders of a specified number of new shares with a corresponding lowering of par value for each outstanding share compare stock dividend

Examples of stock split in a Sentence

Recent Examples on the Web Stockholders whose shares are held in brokerage accounts should direct any questions concerning the reverse stock split to their broker. Kansas City Star, 15 July 2024 MicroStrategy — MicroStrategy shares rose more than 4% after the bitcoin development company announced a 10-for-1 stock split . Samantha Subin, CNBC, 11 July 2024 But the stock split won't change its market capitalization, because the split simply resets the value of each stock at a lower proportional price, keeping the market value at the same level. Aimee Picchi, CBS News, 26 June 2024 In addition, the number of shares reserved for issuance under the Company's equity compensation plan immediately prior to the reverse stock split will be reduced proportionately. Charlotte Observer, 5 June 2024 See all Example Sentences for stock split 

These examples are programmatically compiled from various online sources to illustrate current usage of the word 'stock split.' Any opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback about these examples.

Word History

First Known Use

1950, in the meaning defined above

Time Traveler
The first known use of stock split was in 1950

Dictionary Entries Near stock split

Cite this Entry

“Stock split.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/stock%20split. Accessed 19 Aug. 2024.

Legal Definition

stock split

noun
: the division of the outstanding shares of a corporation into a larger number of shares thereby reducing the value of each share but not the total value of each holding compare reverse stock split

Note: The purpose of a stock split is to make the stock more attractive to potential investors by reducing the price per share.

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