Walmart (WMT) now trades for less than $60 per share.
All after the stock split 3:1.
It could push even higher, as the lowered prices attract far more investors. Earlier this month, the company said it would split the stock after market close on February 23, and then start trading post-split on February 26.
Walmart said it chose to break up shares in part to allow more employees to “buy into its stock purchase plan.” The company “felt it was a good time to split the stock and encourage our associates to participate in the years to come,” CEO Doug McMillon said, as quoted by CNBC.
Again, from current prices, we do expect to see WMT shares explode higher.
From CNBC, “According to Morgan Stanley research, the shares of a company that announced a stock split outperformed the S&P 500 by an average of 2.4% between the announcement and effective date, with a 68% hit rate. In the six months after the effective date, the newly split shares outperformed the index by 4.7%. Those results are based on data from 2000 to 2021.”
The split is another sign that WMT is on the right track, and will continue to grow.
