Apple gains after stock split

Comment on this story
iol scitech april 22 Australia Apple Environment

New York - Apple shares swung higher on Monday as investors remained upbeat on the US tech giant in the first day of trading after a 7-for-1 stock split.

Apple gained 1.6 percent to close at $93.70. Before the split on Friday, shares edged lower to $645.57, but remained close to its all-time highs.

The stock split, announced earlier this year, has no impact on the underlying value of Apple, but such a move can give a company a psychological boost by lowering the cost of each share.

Under the split, the fourth in Apple's history, shareholders received seven of the new shares for every old share they owned.

Apple chief executive Tim Cook has said the split would make Apple stock “more accessible to a larger number of investors.”

Michael Walkley, analyst at Canaccord Genuity, said he was optimistic Apple would rally further this year as it unveils new devices, especially a long-anticipated larger version of its iconic iPhone.

“We maintain our belief Apple will win back meaningful high-end smartphone market share in the second half of 2014 following the launch of the iPhone 6,” Walkley said in a note to clients. - Sapa-AFP

Hungry for more scitech news? Sign up for our daily newsletter



sign up
 
 

Comment Guidelines



  1. Please read our comment guidelines.
  2. Login and register, if you haven’ t already.
  3. Write your comment in the block below and click (Post As)
  4. Has a comment offended you? Hover your mouse over the comment and wait until a small triangle appears on the right-hand side. Click triangle () and select "Flag as inappropriate". Our moderators will take action if need be.