2024-05-26 10:30:00 ET
The stock market is roaring so far in 2024. Both the Nasdaq Composite and S&P 500 have gained approximately 11% thanks to tailwinds in the technology, energy, and pharmaceutical industries.
While steady growth and strong business fundamentals are often correlated with a rising stock price , there are other things that can happen to influence buying and selling activity. More often than not, stock splits lead to abnormal, yet brief, volatility in share prices . Many prominent businesses including Nvidia , Amazon , Alphabet , Tesla , Apple , and Novo Nordisk have completed splits in recent years.
Furthermore, in just the last few months, many businesses in the retail sector have also announced stock splits. Let's explore why splits occur and how they can affect a stock. Moreover, I'll explain why I see Costco Wholesale (NASDAQ: COST) as a potential stock split candidate.
For further details see:
Prediction: This Big-Box Retailer Will Follow Walmart and Split Its Stock in 2024