Apple Stock Split – Good or Bad Time To Invest?

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The Apple stock 4 – 1 split is set to happen on August 31, 2020. Well there is technically 3 dates that are important to note when it comes to Apple’s stock split. The Record Date, this determines which investors are set to receive additional shares as a result of the split, was on August 24, 2020. The Split Date, when investors are given their additional shares, was on August 28, 2020. And the most important date is the Ex Date, when the shares will have the adjusted price from the split, which will be on August 31, 2020.

Apple Store Front
Apple Store Front

Apple Stock’s New Price

The Apple stock split is meant to make the stock more affordable to a broader population of investors. Apple shares will be priced around $150 on August 31, 2020 at the pre-market. This will definitely appeal to the millennial generation, as they prefer to go for stocks on the lower end of the price spectrum. Because of this, you can expect Apple shares to rise quite a bit as there will be more buyers.

One other thing to consider is that they are rumored to release another line of iPhones and decrease the price of their older line. This should also drive the stock price a bit higher.

Risks With Apple Stock Split

However, this is all on the basis that the stock market won’t experience any push back from outside sources. But, even if there is some push back from outside sources, you shouldn’t be worried in the long run. Apple is showing no signs of losing market share anytime soon.

You should only be worried if your considering short-term options. That might make outside sources a lot more relevant to your case. But stocks are generally stable and reflect company success a lot more.

This also comes shortly after Apple became the first US traded company to be valued at more than $2 trillion. This could also put them closer to a $3 trillion valuation if the stock split goes as planned.

Disclaimer: Do not base any investment decision on anything that you read on this post. I am not qualified nor licensed to provide advice on stocks and investing. This is an opinion piece mainly mean to spread some information about a certain situation. All claims in this article are speculative and should not be taken as advice. I do not own or plan on owning any stock or options from the companies mentioned above.


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