Stock Split Watch: Is Chipotle Next?
When it comes to stocks with the potential for a stock split, Chipotle Mexican Grill (NYSE: CMG) is one that tops the list. At approximately $1,550 per share, its price potentially places whole shares out of reach for small investors. But does that mean a stock split will happen? And would a split actually boost Chipotle stock? Let's take a closer look.
Undoubtedly, Chipotle's stock price alone makes it a candidate for a stock split. Almost 8,500 stocks trade on the leading U.S. exchanges today. Of those stocks, Chipotle ranks seventh in terms of its nominal price.
Chipotle shareholders have enjoyed a long but profitable climb to that level. The stock debuted in January 2006. After anticipating an IPO price in the $18 per share to $20 per share range, it closed at $44 per share on its first day of trading. That was just the beginning as the stock has handily outperformed the S&P 500.
Source Fool.com
