Stock-Split Watch: 2 Healthcare Stocks That Look Ready to Split

Stock splits have created a lot of excitement in the market in recent times, with big name players across industries announcing such operations -- from retail giant to artificial intelligence (AI) chip leader Nvidia and popular fast-casual chain Chipotle Mexican Grill. All three completed their stock splits in the first half of this year following years of stellar stock performance.

And this movement may not be over. Many other companies have seen their share prices advance over time, reaching levels that may make investing in them difficult for some investors. The idea of a stock split is to issue more shares to current investors to lower the price of each individual share. This doesn't change anything fundamental about a company -- market value and valuation stay the same. It just means that a broader range of investors can buy the stock without relying on fractional shares.

Why are investors on the lookout for the next stock split? stock splits themselves aren't a reason to buy a stock and won't cause a stock to rise or fall. But, as mentioned, stock splits offer investors easier access to a once high-flying stock. And a split also leads us to companies that have done well in the past and often have what it takes to continue performing. So, which stocks may be next? These two healthcare stocks have soared in recent years thanks to solid revenue growth -- and at today's levels, they look ready to split.

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Source Fool.com