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    3 Split Stocks That Could Soar in 2026 - 12/30

    Ian Cooper
    Tuesday, December 30, 20259 min read
    3 Split Stocks That Could Soar in 2026 - 12/30

    3 Split Stocks That Could Soar in 2026


    Always keep an eye on stock splits.


    A split doesn’t change a company’s intrinsic value. You still own the same slice of the same business—just divided into more shares at a lower price per share. But splits can matter for two practical reasons:



    1. Accessibility and psychology. A $500 stock can feel “expensive” even if valuation is reasonable. Split it 10:1 and suddenly it’s a $50 stock, which tends to look more approachable to a wider set of investors.




    2. Liquidity and attention. A lower share price can increase trading activity, improve liquidity, and expand participation—especially among retail investors and employees purchasing through company programs.




    Historically, there’s also evidence that stocks can perform well after split announcements. Morningstar notes that, citing Bank of America research, stocks have outperformed following split announcements, with average one-year returns of 25% versus 12% for the S&P 500, and that stock splits have been picking up again after a long lull.


    Of course, not every split is bullish. Some splits occur right before a market pullback, and a split doesn’t protect a stock from earnings disappointments or valuation compression. The key is to treat a split as a potential signal of management confidence and as a catalyst for renewed demand, then confirm it with the chart and the fundamentals.


    Here are three split stocks with setups that could be worth watching into 2026.








    Company: Netflix (SYM: NFLX)
    Post-split pullback, ad business momentum


    In November, shares of Netflix split 10:1.


    Since the split, the stock has pulled back and is now trading around $94.50. The pullback has left the stock technically oversold, with momentum indicators (RSI, MACD, and Williams’ %R) suggesting the selling pressure may be stretched.


    From here, we would like to see NFLX stabilize and begin reclaiming key short-term levels. A first upside objective would be a rally back toward $110 in the new year. That level matters because it would represent a meaningful retracement of the post-split decline and could shift sentiment from “fade the split” to “buy the dip.”


    What could drive upside
    The most important fundamental development is advertising. Netflix is building a second growth engine beyond subscriptions, and the company is on pace to double its ad business revenue year over year. If that trend persists, the market may increasingly view Netflix as a hybrid subscription-plus-ad platform with a broader path to profitability and cash flow.


    What we’re watching next



    • Price action around support: Oversold can stay oversold. We want to see higher lows and constructive accumulation days.




    • Ad revenue progress: If ad growth continues to surprise to the upside, it can help justify a stronger multiple.




    • Margin and cash flow: The market will reward ad growth more if it translates into improving operating leverage.




    • Content cadence and churn: Sub growth still matters; content missteps can hit engagement.




    Risk factors
    If ad momentum slows or competition intensifies (both in streaming and ad-supported offerings), NFLX could remain range-bound. Also, if the broader market de-risks early in 2026, higher-multiple media/tech can get repriced quickly.



    Equiscreen


    ZenaTech (NASDAQ: ZENA): The Small-Cap Drone Disruptor Delivering 1,225% Revenue Growth as AI, Defense, and Drone-as-a-Service Converge into the Next Major Infrastructure Boom.


    drone


    ZenaTech (NASDAQ: ZENA) is rapidly emerging as a standout name in one of the fastest-growing technology sectors in the global economy: AI-powered drones and autonomous services. 


    In Q3 2025, the company reported an eye-catching 1,225% year-over-year revenue increase, with revenue growing sixfold over the first nine months of the year, driven largely by its scalable Drone as a Service (DaaS) model, which already accounts for 82% of quarterly revenue. 


    Rather than selling just hardware, ZENA delivers a full, end-to-end ecosystem—combining AI-enabled drones, subscription-based services, and enterprise software—allowing government and commercial customers to deploy mission-critical drone solutions without upfront costs, pilots, or regulatory friction. 


    With real-world deployments across defense, infrastructure, agriculture, logistics, and public safety, ZENA is transforming drones from niche tools into essential operational infrastructure.


    What truly puts ZENA on the radar is its alignment with powerful macro tailwinds and disciplined execution. U.S. policy shifts favoring domestically built, NDAA-compliant drones, restrictions on Chinese components, expanding defense engagement, and U.S.-based manufacturing in Arizona all strengthen the company’s competitive position. 


    At the same time, ZENA is aggressively scaling through acquisitions, targeting 25 DaaS locations by mid-2026, while expanding its federal presence near Washington, D.C. As AI, automation, and defense modernization accelerate, ZENA positioning itself as a foundational platform in the future of autonomous operations—backed by explosive growth, recurring revenue, and global expansion.


    Discover why ZENA is becoming one of the most compelling emerging names in the drone and AI infrastructure economy








    Company: O’Reilly Automotive (SYM: ORLY)
    Split-driven accessibility, oversold reset





    A few months ago, O’Reilly Automotive split 15-for-1.


    Management framed the split as a practical move to make shares more accessible—particularly for employees participating in the company stock purchase program. As CEO Brad Beckham noted, the split helps team members acquire whole shares more readily through payroll deductions (at a 15% discount under the program).


    Since the split on June 10, ORLY ran from about $90 to a high of $108.72. It has since pulled back to around $92.25, which is creating what looks like a “second chance” entry area for investors who missed the initial post-split run.


    Technically, ORLY also appears oversold on RSI, MACD, and Williams’ %R, suggesting the pullback may be overextended.


    From here, we’d like to see ORLY rebound and initially retest $100.


    Why this setup is interesting
    The auto parts business is often resilient because it’s tied to the installed base of vehicles on the road. When consumers delay buying new cars, they frequently maintain older vehicles longer—supporting demand for replacement parts and routine maintenance. That can create steadier revenue patterns than many other consumer categories.


    What we’re watching next



    • Support confirmation near the low $90s: We want to see selling pressure fade and buyers defend the area.




    • Same-store sales and ticket trends: These are key indicators of underlying demand and pricing power.




    • Margin resilience: Distribution, labor, and logistics costs can pressure profitability if not managed well.




    • Competitive intensity: Keep an eye on pricing and promotions across the space.




    Risk factors
    If the economy weakens meaningfully and miles driven declines, parts demand can soften. Additionally, if the stock market rotates away from “steady compounders,” ORLY’s near-term upside may be more limited.





    Crypto 101


    Last call: the memecoin still at pennies


    Quick reminder before this opportunity slips away.


    My analysts Brian and Joe have identified their #1 memecoin for January 2026.


    Plus, it could see big gains this month if the broader market bounces.


    It's still trading for pennies. It has viral potential, real utility, institutional interest building, and a capped supply with a built-in burn mechanism.


    Their track record with memecoins has been remarkable recently:


    → $PEPE: 1,570%
    → $REKT: 3,110%
    → $DogWifHat: 8,200%
    → Plus a bunch of quick flips gaining 300%-1,100% in days


    They don't find coins like this every week. When they pound the table, I pay attention.


    And right now, the setup is perfect.


    The market is oversold. January historically delivers some of crypto's biggest rallies. And if a rally hits, memecoins could see the most explosive gains of all.


    This coin is priced in pennies right now. I don't expect that to last.


    Get the #1 Memecoin for January 2026








    Company: ServiceNow (SYM: NOW)
    Post-split dip, cybersecurity catalyst


    Shares of ServiceNow split 5:1 on December 18, a move aimed at making shares more affordable for investors.


    Now trading around $153.89, the stock is sitting on support dating back to April and is also technically oversold on RSI, MACD, and Williams’ %R. This is the kind of setup that can lead to a sharp rebound if the broader market cooperates and buyers step in.


    From here, we’d like to see NOW begin refilling its bearish gap, with an initial objective around $175.


    The catalyst to watch
    A key development is ServiceNow’s agreement to buy cybersecurity startup Armis for $7.75 billion. CEO Bill McDermott said the deal will bolster the company’s cybersecurity capabilities in the age of AI and more than triple its market opportunity for security and risk solutions, as noted by CNBC. He also emphasized that in an AI-driven world—particularly with autonomous agents—enterprises need stronger protection because intrusions can be extremely costly.


    This matters because cybersecurity has become a board-level priority, and AI expands the attack surface. If ServiceNow can integrate security and risk solutions into its platform workflow DNA, it can deepen customer lock-in and expand wallet share.


    What we’re watching next



    • Execution and integration: Large acquisitions can create turbulence; the market will look for clear synergy and roadmap milestones.




    • Platform attach rates: The best outcome is customers adopting security modules as part of broader workflow modernization.




    • Net retention and large deal activity: These are key signals of enterprise confidence and expansion spending.




    • Technical reclaim of the gap: Rebounding to $175 would indicate a meaningful change in near-term sentiment.




    Risk factors
    Enterprise software can be sensitive to IT spending cycles. If CIO budgets tighten, deal cycles can elongate. Also, acquisitions carry integration risk, and any signs of decelerating growth can pressure valuation.



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    Written by Ian Cooper

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