Costco's Stock Split History

A Look at Costco's Past Stock Splits

Costco has a relatively short history of stock splits, with only three splits taking place since the company went public in 1986. The first split was a 2-for-1 split in 1992, followed by a 3-for-2 split in 1999 and a 2-for-1 split in 2003. As a result of these splits, Costco's stock has become much more affordable for individual investors.

Costco's Stock Split Potential

Given Costco's current share price of around $500, the company is a prime candidate for another stock split. A stock split would make Costco's stock more affordable for a wider range of investors, which could lead to increased demand and a higher stock price. However, it is important to note that stock splits do not have any fundamental impact on the value of a company. A stock split simply divides the existing shares into a larger number of shares, so the total value of the company remains the same.

Conclusion

Costco's history of stock splits shows that the company is not afraid to split its stock when it believes it is in the best interests of shareholders. Given the company's current share price, another stock split is certainly possible in the future. However, investors should remember that stock splits are not a substitute for sound investment decisions. Before investing in any stock, it is important to do your research and understand the risks involved.