stock split

noun

: a division of corporate stock by the issuing to existing shareholders of a specified number of new shares with a corresponding lowering of par value for each outstanding share compare stock dividend

Examples of stock split in a Sentence

Recent Examples on the Web
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The filing also details the three-for-one forward stock split effected on December 24, 2024, which increased the number of authorized shares of common stock to 360,000,000. Quartz Intelligence Newsroom, Quartz, 6 Feb. 2025 The company has implemented a reverse stock split to regain compliance with Nasdaq's minimum bid price requirement and has appointed new independent directors to address corporate governance deficiencies. Quartz Intelligence Newsroom, Quartz, 6 Feb. 2025 The company implemented a 20-for-1 stock split in 2022. Yeo Boon Ping, CNBC, 27 Jan. 2025 With $1,000 clearly in sight, Netflix could be headed for its first stock split in a decade. Tony Maglio, IndieWire, 22 Jan. 2025 See All Example Sentences for stock split

Word History

First Known Use

1950, in the meaning defined above

Time Traveler
The first known use of stock split was in 1950

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Cite this Entry

“Stock split.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/stock%20split. Accessed 1 Mar. 2025.

Legal Definition

stock split

noun
: the division of the outstanding shares of a corporation into a larger number of shares thereby reducing the value of each share but not the total value of each holding compare reverse stock split

Note: The purpose of a stock split is to make the stock more attractive to potential investors by reducing the price per share.

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