William Gallagher
Amazon's board has approved a 20 for 1 stock split with it happening to shareholders of record on June 6 — and it is the first such move by the company in 23 years.
Following Google parent company Alphabet's recent announcement of its own 20-for-1 stock split, Amazon is now to do the same.
According to Reuters, Amazon's stock has almost doubled over the last two years, and closed on March 9, 2022, at $2,785.58.
"This split would give our employees more flexibility in how they manage their equity in Amazon," an Amazon spokesperson told Reuters, "and make the share price more accessible for people looking to invest in the company."
The stock split is the first Amazon has done since 1999. It will give each shareholder 19 more shares for every one they current hold.
Alongside the stock split, Amazon's board has authorized a $10 billion buyback plan. On news of the buyback, and the stock split, shares in Amazon rose 7%. Amazon's market capitalization is approximately $1.4 trillion.
Amazon and Google's stock splits also follow Apple's 4 for 1 split in 2020.
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Wesley Hilliard
AppleInsider Staff
Andrew Orr
Amber Neely
3 Comments
Stock buybacks are for the executive class. Companies like Amazon don't pay federal taxes, and put the money back into a subset of ultra-wealthy stockholders, rather than invest in their people with increased wages. It's a shame because when the ultra-wealthy get wealthier, they simply hoard it, and when the working class get more income they spend it on goods & services, putting it back into circulation in the economy. Thus we need more "trickle-up" economics, as we now know trickle-down was a lie.
I admired the history of Amazon, but I won't buy their stock as long as they mistreat their employees.
They are underpaid, over worked, and micro-managed by brutal corporate system.
Amazon's values are in the wrong place - joyrides into space for the ultra-rich ?
the shiny star is burning out . . . .
All that being said now is the time to buy shares in Google and Amazon now or right after the split, similar to the Apple splits, long Apple……