Today Apple’s stock officially split 4 into 1, causing it to fall to $128 after it closed on Friday at $499.
Apple announced the stock split on July 30th at its Q3 earnings call after it was approved by Apple’s board of Directors. As the company reported at the time, the shares in the company will rise from around the pre-split 12.6 billion, to 50.4 billion. On Monday, pre-market prices for Apple stocks increased vs. pre-split prices on Friday, as Reuters reports:
Shares of the Cupertino-California-based company, which have rallied nearly 30% since it announced its surprise 4-for-1 stock split and blockbuster quarterly results on July 30, were priced at $126.56, up 1.4% when compared to Friday’s split-adjusted close, in pre-market trade.
A stock split does what it says, it splits an existing share for investors into multiple parts. Now Apple investors own 4 times the number of shares in the company as they did before. Companies are common to do this, making their stock more accessible to investors. Today is Apple’s 5th stock split since going public.