Here Comes Apple’s (AAPL) Stock-Split
“It has been funny seeing the analyst upgrades north of $700 in recent weeks for Apple but they haven’t mentioned the upcoming split…”
I mentioned this in last night Weekly’s Wrap and again in this morning’s Daily and sure enough, Apple (AAPL, $624.86, down $8.14) has been a constant word flowing out of the talking heads mouths today.
Today is the “record date” to get additional Apple shares for current stockholders. This basically means if you own the stock by today’s close you will get 6 additional shares after Friday’s close, or the split date.
Splits don’t mean much in the grand scheme of the things as your “investment” is still the same. However, most rookie investors will be chomping at the bit to get the split-adjusted price.
I will be more focused on the OPTIONS on Apple afterwards as the options will become so much more cheaper to trade.
I would rather take 3 (70-cent) trades on at or near-the-money option trades rather than paying for a $2 option trade way out-of-the-money which is usually the case on stocks that trade in the triple-digits.
At current levels, shares would trade just south of $90 next Monday (6/9). This will be the ex-date
Apple shares are weighing on Tech but overall, the bulls are still pushing new highs.
The Dow is up 23 points to 16,740 while the S&P 500 is higher by a point to 1,924. The Nasdaq is down 10 points to 4,232 and the Russell 2000 is declining 4 points to 1,130.
Subscribers, check the Members Area for the current trade updates and I will be back in the morning with a full report.