3 Stock-Split Stocks Billionaires Are Buying Hand Over Fist
When challenges arise on Wall Street, investors have a tendency to turn to profitable, time-tested companies that have handily outperformed their peers. While the FAANG stocks have been the popular/logical choice for the past decade, it's companies enacting stock splits that have endeared investors over the past two years.
A stock split is an event that allows a publicly traded company to cosmetically alter its share price and share count without having any impact on its market cap or operations. Forward-stock splits reduce a company's share price to make it more nominally affordable for everyday investors, while a reverse-stock split is employed to increase a company's share price to ensure it remains compliant with listing rules at major exchanges.
Image source: Getty Images.
Source Fool.com
