| The Trump Dump is starting; Get out of stocks now? (James Altucher) |
Always keep an eye on stock splits, we said at the start of June 2025.
While splits don’t change the value of a stock, they can serve as a positive signal. This can then lead to further liquidity and more investor interest. After all, if an attractive $500 stock were to split 10:1, bringing it to $50 a share, more investors are likely to jump in.
Look at O’Reilly Automotive (SYM: ORLY), for example.
One of the two stock splits we highlighted was ORLY.
At the start of June, it traded at about $1,365 before its 15:1 split.
Today, the stock trades at $89.42 and is still just as attractive. Helping, analysts at RBC Capital just reiterated an outperform rating on the stock with a price target of $98.
The firm “expects O’Reilly to report second-quarter comparable sales growth of 3.9%, slightly above the consensus estimate of 3.8%, with earnings per share of $0.78, in line with consensus expectations,” as noted by Investing.com.
In addition, O’Reilly Automotive started 2025 with solid results, achieving 3.6% comparable store sales growth. It also raised its full-year EPS guidance.
Interactive Brokers (SYM: IBKR)
In June, IBKR split its stock 4:1 – and now trades at $57.62, where it’s still attractive.
Helping, recent earnings weren’t too shabby.
In its first quarter, revenue of $1.43 billion was up 19% year over year. Customer accounts jumped 32% year over year to 3.62 million, as consumer equity soared 23% to $573.5 billion. However, EPS of $1.88 did miss by five cents. Still, overall earnings and growth were solid.
Fastenal (SYM: FAST)
Shares of Fastenal split 2:1 in May.
Now at $42.52, it’s also still an attractive opportunity thanks to earnings and a recent upgrade.
In its first quarter, its EPS of 52 cents was in line. Revenue of $1.96 billion, up 3.7% year over year, beat by $10 million. Fastenal was also upgraded to Peer Perform by analysts at Wolfe Research. “The crux of the call is we believe FAST is well positioned in the current environment, with a bit of a Goldilocks setup as a defensive stock that has torque to ISM inflection,” said the firm, quoted by Seeking Alpha.
In other news: Trump set to Boost Social Security Checks by 400%?
If you’re collecting or planning to collect social security…
You should see this presentation about President Trump’s Executive Order #14196.
Legendary investor Louis Navellier believes it could soon not only save Social Security from collapse…
But BOOST benefits for millions of retirees by up to 400%.
No wonder the financial times called this new initiative…
“A big pot of money for the American people”
And the Motley Fool said that it could “pave the way for the biggest Social Security change ever.”
Click here to see the details because the stakes couldn’t be any higher.
