Apple, Inc to split stock 7-1 after Friday June 6 market close

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Comments

  • Reply 21 of 111
    magic_almagic_al Posts: 325member
    Will anybody freak out on Monday if they don't know about the split and see Apple's stock price displayed out of context?
  • Reply 22 of 111
    melgrossmelgross Posts: 33,508member
    I'm hoping Monday's stock price will then jump to $150 a share.

    Put me down for $647-650. Post-split I think it will explode to $100 quickly because the average investor will want to pile in.

    For my sake, I hope you're both right. Open at $100, and zip right to $150.
  • Reply 23 of 111
    tallest skiltallest skil Posts: 43,388member
    Originally Posted by Magic_Al View Post

    Will anybody freak out on Monday if they don't know about the split and see Apple's stock price displayed out of context?

     

    Of course they will. We’ll see new posters being morons and new posters being trolls. Not many, but they’ll exist.

  • Reply 24 of 111
    melgrossmelgross Posts: 33,508member
    magic_al wrote: »
    Will anybody freak out on Monday if they don't know about the split and see Apple's stock price displayed out of context?

    My broker just called me to let me know, and to also tell me that it won't be available for after hours trading Friday. He knows I know this, but he's calling all the Apple clients.

    I haven't checked my emails to see if Scottrade is letting me know this on my account there.
  • Reply 25 of 111
    gwmacgwmac Posts: 1,806member
    Quote:

    Originally Posted by oberpongo View Post





    People Who are influenced by the number of shares they hold should never buy any shares! What about warren buffets Berkshire shares. Are they at $100.000 now a piece?

    I understand what you are saying but the stock market is as much about psychology as financial fundamentals. You cannot simply dismiss that. Panic sells often happen for no actual reason just from a false rumor and the same thing happens on false good rumors. If you look at stock orders, the vast majority from individual investors are in blocks of ten. There is just something more satisfying or comforting about buying 10 shares over 8, or 200 over 187. 

     

    People that were simply priced out at the old valuation can now afford to buy AAPL. This cannot be underestimated. An entire new pool of buyers that will likely hold on to their shares longer term could bring a bit more sanity and stability to AAPL shares. 

  • Reply 26 of 111
    apple ][apple ][ Posts: 9,233member
    Quote:

    Originally Posted by melgross View Post





    Stocks are easier to buy in standard blocks such as 50 shares, 100 shares, etc. selling too.

    When you look at the realtime trades for AAPL being executed, you'll see that all sorts of random share lots are being traded every minute. Of course round numbers like 50,100,200 are common to see, but you'll also see plenty of odd numbers too.

     

    These are the last trades for AAPL made right now at around 3 PM -

     

  • Reply 27 of 111
    gwmacgwmac Posts: 1,806member

    At the 7-1 split evaluation, AAPL would only need to reach a price of around $142 per share to be at the old $1,000 per share evaluation. I can see AAPL climbing to around $125 with just the iPhone 6 alone. 

  • Reply 28 of 111
    melgross wrote: »
    I'm giving you a warning.

    I don't understand this. pazuzu is clearly a troll and does nothing but bash apple, derail threads, or post inane stuff. He contributes nothing. I don't get why 1) Slurpy is being warned for calling him out or 2) why pazuzu has not yet been banned.
  • Reply 29 of 111
    Quote:
    Originally Posted by melgross View Post

    For my sake, I hope you're both right. Open at $100, and zip right to $150.

     

    OMG, so you really expect a 60% increase in stock price purely as a result of the split?  That would be like APPL going to $1,000 or so. And I don't hear even the most optimistic analysts forecasting that!  (Then again, the "analysts" aren't always very prescient.)

     

     

    EDIT: Yeah, gwmac had the same idea and posted it moments before I did.  He wins.  :)

  • Reply 30 of 111
    melgrossmelgross Posts: 33,508member
    magic_al wrote: »
    Will anybody freak out on Monday if they don't know about the split and see Apple's stock price displayed out of context?
    gwmac wrote: »
    I understand what you are saying but the stock market is as much about psychology as financial fundamentals. You cannot simply dismiss that. Panic sells often happen for no actual reason just from a false rumor and the same thing happens on false good rumors. If you look at stock orders, the vast majority from individual investors are in blocks of ten. There is just something more satisfying or comforting about buying 10 shares over 8, or 200 over 187. 

    People that were simply priced out at the old valuation can now afford to buy AAPL. This cannot be underestimated. An entire new pool of buyers that will likely hold on to their shares longer term could bring a bit more sanity and stability to AAPL shares. 

    Well, actually, the chance is that it will become more volatile. When more small traders join in, sell and buy on rumors becomes more prevelant.
  • Reply 31 of 111
    apple ][apple ][ Posts: 9,233member

    Monday would be the perfect time for the manipulators to start making their move.

     

    Look how optimistic everybody is.<img class=" src="http://forums-files.appleinsider.com/images/smilies//lol.gif" />

     

    Either way, it'll be interesting to see what happens to the stock action post split.

  • Reply 32 of 111
    solipsismxsolipsismx Posts: 19,566member
    gwmac wrote: »
    At the 7-1 split evaluation, AAPL would only need to reach a price of around $142 per share to be at the old $1,000 per share evaluation. I can see AAPL climbing to around $125 with just the iPhone 6 alone. 

    For the trillion dollar market cap it's a little higher:

    1,000,000,000,000 market cap ÷ 861,380,000 shares = $1160.93 per share ÷ 7 (split) = $165.85 per share
  • Reply 33 of 111
    melgrossmelgross Posts: 33,508member
    apple ][ wrote: »
    When you look at the realtime trades for AAPL being executed, you'll see that all sorts of random share lots are being traded every minute. Of course round numbers like 50,100,200 are common to see, but you'll also see plenty of odd numbers too.

    These are the last trades for AAPL made right now at around 3 PM -

    <img alt="" class="lightbox-enabled" data-id="44182" data-type="61" src="http://forums.appleinsider.com/content/type/61/id/44182/width/500/height/1000/flags/LL" style="; width: 462px; height: 497px">

    Yes, but for complex reasons, it's easier with even blocks, And a bit cheaper as well. I can't explain all of this, but it's well known.
  • Reply 34 of 111
    melgrossmelgross Posts: 33,508member
    I don't understand this. pazuzu is clearly a troll and does nothing but bash apple, derail threads, or post inane stuff. He contributes nothing. I don't get why 1) Slurpy is being warned for calling him out or 2) why pazuzu has not yet been banned.

    There's a difference in bashing Apple, and bashing another poster. I don't like reading trolls either, and I've kicked a number off. But it's the way it's written. People have the right to their opinions.

    If you post to me that something I said was idiotic, I might not be happy, but it's your right to think so. But if you post that I'm idiotic, that's not ok. That's a direct insult, and not allowed. And I'm pretty liberal about insults to my person.
  • Reply 35 of 111
    gwmacgwmac Posts: 1,806member
    Quote:

    Originally Posted by melgross View Post







    Well, actually, the chance is that it will become more volatile. When more small traders join in, sell and buy on rumors becomes more prevelant.

     

    Really? I have always believed that your typical small time investors are more long term types that will hold for years or even decades. The headaches with taxes and capital gains is but one reason. Also the type of people I am talking about are teachers, construction workers, small business owners, etc.. who are simply far too busy to actively monitor their Ameritrade accounts and buy and sell often. I could be wrong of course but I think individual, middle class type investors tend to invest more with an eye for retirement than short term. 

  • Reply 36 of 111
    island hermitisland hermit Posts: 6,217member
    Quote:

    Originally Posted by Apple ][ View Post

     

    When you look at the realtime trades for AAPL being executed, you'll see that all sorts of random share lots are being traded every minute. Of course round numbers like 50,100,200 are common to see, but you'll also see plenty of odd numbers too.

     

    These are the last trades for AAPL made right now at around 3 PM -


     

    Small odd lots aren't that uncommon at all... as you have shown.

     

    ... and the price is never any different for 10 shares or 1000 shares +.

  • Reply 37 of 111
    melgrossmelgross Posts: 33,508member
    OMG, so you really expect a 60% increase in stock price purely as a result of the split?  That would be like APPL going to $1,000 or so. And I don't hear even the most optimistic analysts forecasting that!  (Then again, the "analysts" aren't always very prescient.)


    EDIT: Yeah, gwmac had the same idea and posted it moments before I did.  He wins.  :)

    Sheesh! Of course not!

    But people buy lotto tickets, don't they?
  • Reply 38 of 111
    apple ][apple ][ Posts: 9,233member
    Quote:

    Originally Posted by island hermit View Post

     

    Small odd lots aren't that uncommon at all... as you have shown.

     

    ... and the price is never any different for 10 shares or 1000 shares +.


     

    The price paid per trade depends on the trading platform of course, but you're right, I'm on scottrade and it makes no difference if I were to buy 1 share of AAPL or 100 shares of APPL, both trades would cost me $7 each.

  • Reply 39 of 111
    solipsismxsolipsismx Posts: 19,566member
    melgross wrote: »
    Well, actually, the chance is that it will become more volatile. When more small traders join in, sell and buy on rumors becomes more prevelant.

    Yes, but I'd argue that with Internet-based trades being so cheap and buying 1 share or 1,000 shares costs the same thing that this has already built into the system. So this split would be like adding electrons to an atom then worrying about the mass it's gained. It's definitely added mass but it's such a minute amount compared to the proton and neutron that it's practically inconsequential. IOW, I expect we'll see no changes in the stocks volatility.
  • Reply 40 of 111
    apple ][apple ][ Posts: 9,233member
    Quote:

    Originally Posted by SolipsismX View Post



     IOW, I expect we'll see no changes in the stocks volatility.

     

    I'm not so sure about that. I've seen plenty of stocks that have acted strangely post split.

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