STOCK SPLIT – EVERYTHING YOU NEED TO KNOW

I got this in mail:

Hello Investor,

Do you know what is stock split and it's effects.

STOCK SPLIT – EVERYTHING YOU NEED TO KNOW

What is Stock Split?

A stock split occurs after a corporate action in which a company divides its existing shares into multiple shares. Although the number of shares outstanding increases by a specific multiple, the market cap remains the same compared to pre-split values because the split does not add any real value. So, basically a cake cut into 4 pieces or 8 does not change the quantity of cake available, same is the case with the stock split and the market cap of the company.

The stock split also affects the Face Value of the company. If the face value of the company [. . .]

https://www.excelstockresearch.com/stock-split-everything-you-need-to-know/

 

Whenever a company goes for merger or acquisition situation of stock split arises.