Palo Alto Stock Split: Why It Matters
Stock splits tend to capture investors' attention and create excitement. On the surface, a split doesn't really matter, as there is no direct effect on the value of your shares. However, there are plenty of ancillary issues to consider. A stock split indicates that shares have markedly increased in value, and investors should take the opportunity to examine why the company has been so successful.
Cybersecurity juggernaut Palo Alto Networks (NASDAQ: PANW) will soon execute its first stock split.
Before we look at what drives Palo Alto's success, let's look at key info investors should know. Palo Alto will split its stock 3:1, which means investors will get an additional two shares for each share they own. The stock trades for around $540 right now, so shareholders will end up with three shares valued at $180 for each share they own if this price holds.
Source Fool.com
