Fewer Stock Splits, Record Share Prices

A tactic to lure investors goes out of style, and average share prices rise
Photograph by Scott Eells/Bloomberg

Stock splits, designed to attract investors by making stocks more affordable, have become a rarity since the 2008 financial crisis. Four companies in the Standard & Poor’s 500-stock index split their shares this year, and 16 did in 2011. That’s down from an average of 35 annually from 2004 through 2007 and a recent peak of 102 in 1997, data compiled by S&P and Bloomberg show.

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