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What in the world is a Stock Split?

What in the world is a Stock Split? Before the market opened on Monday 31st of August, both Apple (NASDAQ: AAPL) and Tesla (NASDAQ: TSLA) enacted stock splits of 4-1 and 5-1 ratios respectively. But, what is a stock split? A stock split, also known as a stock divide, increases the number of shares offered by a company. Stock splits do this by decreasing the market price of individual shares by the inverse ratio of the total share increase. Essentially what this means to an investor is this: Le