Stock-Split Watch: Is Adobe Next?

Stock splits have been popular on Wall Street in 2022, with companies including Alphabet, Amazon, and Shopify participating in the frenzy. While stock splits have no material effect on a company's valuation, the practice can encourage retail investors to buy shares at the lower price. 

Adobe (NASDAQ: ADBE), a leader in computer software, is one company that could benefit from a split as its stock is close to $400 per share. Let's explore further.

A stock split is when a company multiplies its outstanding share count without changing its overall market capitalization. If a company splits a stock that you own, your investment's value will not change, just the number of shares. 

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Source Fool.com