Stock Splits

what is a stock split?

Stock SplitsA stock split is really a procedure helpful to enhance the number of stocks in order to issue more stocks to present shareholders. Simply, when a firm wants to raise the amount of shares in the stock market, a stock split is utilized.

E . g ., if an trader keeps 1000 shares of ACC at Rs.100 per share, after that it utilizes 2-1 stock split can lead to owning 2000 stocks valued at Rs.50 each share. The results of stock splits procedure result in firm’s raise of number of shares as well as decrease in prices however market capital continue same.

The most popular systems of  “stock splits” are 3-1, 2-1 and 3-2. Based on the realtime needs, the various strategies are utilized accordingly. One of the better methods to compute the new share price is to divide the prior stock price through the stock split ratio.

E . g ., if a firm choose 3-1 stock split choice, and then divide Rs.100 by 3 which will result in Rs.33.33 for each share.

Stock split information tags;

stock split definition, meaning details , indian stock splits detail
Why do companies split their stock?, financial dictionary, terms , explanation for stock splits and information

Be Sociable, Share!
Tags: ,

Stock Market Basics For Beginners

The emerging countries(markets)

The emerging countries(markets) The emerging markets (nations) have seen fundamental and structural modifications in their economies and financial markets in the research time period, approximately 1993-2005. Table one ...…

Why does Securities Market require Regulators?

Why does Securities Market require Regulators? The lack of conditions of best competitors in the securities market creates the position of the Regulator very important. The regulator makes sure that the ...…

When Begins Investing

When Begins Investing [ad name="Banner 468 x 60 Text emage"] The quicker one begins investing the better. By investing very early a person allow investment funds a longer period ...…

What is Support And Resistance?

What is Support And Resistance? One of several interesting phenomena of share markets that are usually catchy is a activity of share prices at the blink of eyes. At one ...…

Public Provident Fund

Public Provident Fund Public Provident Fund: long-term savings device which has a maturity period of 15 yrs and interest payable at 8 percent per year compounded yearly. A ...…

Indian Share Tips

NSE Investment Site

Market Update

Share Guide

Designed by VMV
web
analytics