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To: dennisw
I wish Apple was not going to split. It is more mentally convenient the way it is is now. For comparing Google, Apple, Amazon, Samsung Netflix etc etc

Comparing the relative values of companies by comparing their stock prices is dumb, Dennis. That is demonstrated by this current seven for one split that Apple is doing to make its stock more attractive for small investors. It has zero effect on the company. It has a huge positive effect on current investors as demand from small investors will tend to drive the price up.

Getting back to my original point, Apple has split three times before this split. . . and therefore had the stock NOT split, the price of Apple stock would be around $530 x 2 x 2 x 2 or = $4240 a share, or there abouts! Compare that to the companies you mentioned prices per share. . . Only THEN will you have a real base of understanding relative value.

40 posted on 04/23/2014 5:55:01 PM PDT by Swordmaker (This tag line is a Microsoft insult free zone... but if the insults to Mac users continue...)
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To: Swordmaker
Comparing the relative values of companies by comparing their stock prices is dumb, Dennis. That is demonstrated by this current seven for one split that Apple is doing to make its stock more attractive for small investors. It has zero effect on the company. It has a huge positive effect on current investors as demand from small investors will tend to drive the price up.

So why didn't apple split 2-3-4 years ago to bring in small investors.

41 posted on 04/23/2014 7:04:59 PM PDT by dennisw (The first principle is to find out who you are then you can achieve anything -- Buddhist monk)
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