1 Stock Split Stock to Buy Instead of GameStop

There have been plenty of high-profile stock splits this year. And on July 6, video game retailer GameStop (NYSE: GME) announced that it was joining the fun. The company will conduct a 4-for-1 stock split that will take effect on July 22. Although the move generated renewed interest in GameStop, it hardly constitutes a reason to buy its shares. GameStop faces multiple headwinds, including inconsistent revenue and profits (or lack thereof) in a struggling industry.

Other companies that recently performed stock splits look like much better buys, and Shopify (NYSE: SHOP) is one of them. The e-commerce specialist recently completed a 10-for-1 stock split. Although the transaction did not fundamentally change the value of Shopify's business, let's see why this tech giant is still worth investing in, even after a challenging year on the stock market.