[dennisw]

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.

[Swordmaker]

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

A stock split does very little for the company. . . unless they intend to issue more stock and need to expand the potential market to sell the new issue. Apple is not planning to do that. Steve Jobs did not particularly care what the price of the stock was doing.

Apple the company gets NO benefit from the trades of the stocks in circulation and in fact the more outstanding stocks there are, the higher the costs to service the stockholders are, by a small increment per stockholder. Each share on the books is an equity position (read liability) requiring communications, attention, and payment of dividends.

There is also turmoil in the market associated with splits. . . and a lot of financial, regulatory, and bookkeeping costs to the company. You will see that in the weeks to come.