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Glossary   >   S   >   "Split" Definition            Split Sometimes, companies split their outstanding shares into a larger number of shares. If a company with 1 million shares did a two-for-one split, the company would have 2 million shares. An investor with 100 shares before the split would hold 200 shares after the split. The investors percentage of equity in the company remains the same, and the price of the stock he owns is one-half the price of the stock on the day prior to the split. In the US, the issuing of additional shares by a company to its shareholders in proportion to their existing holdings but resulting in a correspondingly lower market price and as such no change in the value of the shareholders" equity. In a one for one split, original ownership of 1,000 shares at $10 per share changes to 2,000 shares at $5 per share. Glossary    Dictionary Search (powered by Google) WWW ITLOCUS.COM GLOSSARY.ITLOCUS.COM Translate a web page (powered by Google)      to German Spanish French Italian Portuguese Japanese Korean Chinese

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Split \ Sometimes, companies split their outstanding shares into a larger number of shares. If a company with 1 million shares did a two-for-one split, the company would have 2 million shares. An investor with 100 shares before the split would hold 200 shares after the split. The investors percentage of equity in the company remains the same, and the price of the stock he owns is one-half the price of the stock on the day prior to the split.

In the US, the issuing of additional shares by a company to its shareholders in proportion to their existing holdings but resulting in a correspondingly lower market price and as such no change in the value of the shareholders" equity. In a one for one split, original ownership of 1,000 shares at $10 per share changes to 2,000 shares at $5 per share.