Shopify, a Canadian e-commerce company headquartered in Ottawa, Ontario, has been on a bit of a tear lately. The company has split its stock four times in the last five years.
That’s right, four times. So, how many times has Shopify split?
The first time Shopify split was in May 2015. The stock split 2-for-1.
That means that for every one share of SHOP that an investor owned, they got two shares after the split. So, if an investor owned 100 shares of SHOP before the split, they would own 200 shares after the split. The stock price would be halved, but the number of shares would double.
The second time Shopify split was in September 2016. This time, the stock split 3-for-1.
So, for every one share of SHOP that an investor owned, they got three shares after the split. So, if an investor owned 100 shares of SHOP before the split, they would own 300 shares after the split. The stock price would be divided by three, but the number of shares would triple.
PRO TIP: Shopify has split multiple times in the past and is likely to do so again in the future. This means that if you own shares of Shopify, you could end up with fewer shares than you currently have.
The third time Shopifysplit was in April 2018. This time, the stock split 4-for-1.
So, for every one share of SHOP that an investor owned, they got four shares after the split. So, if an investor owned 100 shares of SHOP before the split, they would own 400 shares after the split. The stock price would be divided by four but , but the number of shares would quadruple.
And finally, the fourth time Shopifysplit was in July 2020. This time, the stock split 5-for-1.
So, for every one share of SHOP that an investor owned, they got five shares after the split. So, if an investor owned 100 shares of SHOP before the split, they would own 500 shares after the split. The stock price would be divided by five but , but the number of shares would quintuple .
In conclusion , Shopify has now splits its stock five times in seven years . That’s once every 1 .
4 years on average . Stock splits are usually a good sign that a company’s management thinks that its stock is undervalued and that there is room for it to grow .
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