Published on: 2026-04-17
Source: T-Bank –
An important disclaimer is at the bottom of this article.
What is a split.
Split — this is the division of each share into several new ones. It is needed so that shares become more accessible to retail investors: the number of shares in the company increases, and their price decreases proportionally.
As a rule, a split conducts a rapidly developing business. When a company’s shares are actively growing in price, the entry threshold for investors increases. Thanks to the split, the company can attract more people: roughly speaking, anyone can become a shareholder—even if they invest just a little bit.
Splits can be conducted in different ratios — 1:2, 1:10, or even 1:100. It all depends on how accessible the company wants to make the shares.
For example, after the stock split, the number of shares increased by 10 times — from 268 million to 2.68 billion shares. At the same time, the total value of the shares remained the same.
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