Stock quotes adjusted for splits

[Kenazo]

For example if a $10 stock splits 2 for 1 the share and if the post split price is still $10/share your investment is $20. I'm wondering if there is a place where I can find charts or quotes adjusted to show the price like this.

 

[ahartman]

Originally posted by: Kenazo
For example if a $10 stock splits 2 for 1 the share and if the post split price is still $10/share your investment is $20. I'm wondering if there is a place where I can find charts or quotes adjusted to show the price like this.

If you have 1 $10 share of a stock and it splits 2 for 1, you now have 2 $5 shares of stock. Stock splits neither create nor reduce value of a stock - the primary reason to split a stock is to make it more affordable (attractive) to the market.

You always get a few people not paying attention and think "OMG, what a great time to get in!", but the split of a stock doesn't make you any money.

 

[Kenazo]

🙂 oops... I did know that, So, when I'm looking at the yahoo! chart does the chart show the $10 prior share price or the $5 after split price?

 

[kranky]

Every site I've ever seen adjusts prior data for splits. If they didn't, the data would be meaningless. Usually there's a footnote that will point out when the splits occurred.

Let's make up an example. If in March of 2004 the price was $20, and last month the stock split 2-for-1, if you look at the March 2004 price it will show as $10. They adjust the older data to reflect that there was a stock split.

 

[ahartman]

After the split, your shares will show as $5

 

[spidey07]

The chart shows the current share price.

For history the price is adjusted for splits (ie doubled for a 2/1, tripled for a 3/1)