If we look at the market cap, Apple is currently the second largest company in the world. It’s also a member of the lucrative Seven Stocks that benefited last year by buying more S&P 500 shares.
Apple investors are optimistic about the company’s short-term future for profitable capital. Investors are asking whether Apple stock could split in 2024, according to some reports and some of the best days ahead.
Let us try to find the answer to this uncertain question and see what happens now with Apple Stocks. We also know the company’s stock distribution history here. What do analysts think about the split and the negative or positive impact of the split on Apple shareholders?
We will then move on to predicting Apple’s distribution prospects this year.
The Current State Of Apple Stock
If we talk about the current value of Apple’s shares, Apple is currently trading at around $214 per share. The value of Apple’s shares has been equivalent to a gain of more than 15 percent since January.
However, the year-to-date growth could be clearer. That’s because Apple’s stock has seen a downward trend in January and late April, and the decline looked a little better in early May when the company showed its second-quarter results.
This is said to be because Apple’s best-in-class investor services have responded well to high returns.
After this positive quote, Apple’s stock has seen an increase of almost six percent in 24 hours. Apple’s stock made another positive comeback in June when Apple introduced a set of AI features in the market called Apple Intelligence, as per the demand of the time.
Thanks to this change, The move sent its stock up to $220 before falling back to $ 210.
Apple’s Stock Split History
Historically, Apple has split its stock five times. The dates, ratios, and estimated unadjusted pre- and post-split stock prices for this share split are shown in the table below.
Apple’s leadership implemented the dividend process
primarily to manage the company’s stock price. One conclusion from the above data is that Apple’s ideal value has improved over time.
Initially, the management team adjusted the stock price to $50. As a result of the last two distributions, prices went down.
Market Sentiment And Analysts’ Predictions
MarketBeat reports that analysts give Apple’s star a moderate to better rating. About two dozen buy ratings currently have 10 hold ratings, As well as a buy and an excellent sell. This is the current price of Apple $214.29,
Analysts are also expecting the iPhone maker to grow sales by 8.1% and finish with an EPS of $6.59. However, Analysts don’t seem to be in a position to talk about Apple’s distribution capabilities yet.
If you look at its value after 2020, it has increased marginally. This may also be the reason why analysts do not make forecasts.
Possible Apple Stock Split Catalysts
This year, Apple could have two potential split gains later in the year. If we talk about the first distribution, the reason for this is the strong iPhone upgrade cycle. That’s often driven by smartphone demand and may even power Apple Intelligence in terms of value.
Another scenario could be that if Apple’s users are eager to upgrade their existing accessories, the demand for AI-powered apps could increase, which could lead to capital gains.
Strong iPhone Upgrade Cycle
If we talk about the major changes in the coming days of Apple, the beta version of Apple Intelligence iOS 18, iPadOS 18, and macOS 15 Sequoia, Which is being included in the late 2024 release.
However, using AI features is only possible for some Apple devices because only some Apple devices have the computing power to run AI features. If we talk about devices that can use AI features, Macs and iPads with M series processors are included in this group. It can also accommodate the iPhone 15 Pro and 15 Pro Max.
Users who want to use Apple Intelligence features but need an iPhone 15 Pro or Pro Max. So, all such users have to look for the next available option and upgrade their current phone. The next suitable option for them is the iPhone 16, which is expected to be launched in the near future.
Apart from the AI features, the new iPhone 16 has also been upgraded in many other things. Which Apple often updates in each of its latest products.
Often, the iPhone in its new model improves the powerful computing system, the camera with the best results, the beautiful display, and the latest design. Yet Apple Intelligence may be the primary and first priority for the iPhone 16.
If the AI features with the new change prove to be better for iPhone users and are liked by them, it could prove to be a game changer for the iPhone.
And that change could yield enough gravitas to value Apple stock enough to justify a split. That kind of turnaround could make Apple one of the best stocks of the year.
Services Gain Via AI-Enabled Apps
There’s also the fear that the iPhone has the potential to influence the next generation of third-party apps that tap into the phone’s native AI functionality. Such apps will be a source of wealth for Apple and can gain traction as essential productivity tools.
And revenue from services related to Apple’s intelligence rollout may lag behind device sales, so the timeline for its catalyst looks pretty long.
Potential Stock Split Implications For AAPL Shareholders
The stock cap should not have more material implications for the AAPL Shareholder than the change in the share count. A demerger shall be deemed to be a redistribution of the company’s market capitalization into a new number by calculation.
We try to understand this division with a small example, like a pizza cut into quarters, and every piece is cut in half to make eighths. During this splitting process, more slices are added, but the size of the pizza remains the same.
However, an uncertain point is seen in stock distribution because investors’ reactions cannot be calculated, which may produce good or bad results for the shareholders.
We now examine the short-term and long-term effects AAPL’s shareholders may face if the company splits its stock.
Short-Term Considerations
From the value of Apple’s stocks, it is easy to infer that, in the short term, the distribution of Apple stock will change in proportion to the number of shares held by the current shareholder.
Otherwise, the distribution for two is to double the number of shares available and within the shareholder portfolio. If the division is 4 for one, then the division will quadruple the number of shares across the board.
Those shareholders that hold Apple shares may increase in value when the distribution of shares is announced and days prior to the effective date of the distribution. Because investors often interpret the distribution as confidence in the management team.
AAPL Stock Long-Term Outlook Considerations
Long-term stock distribution can also widen the audience holding power for the stock, which should theoretically improve demand and liquidity. Here’s a look at the 2020 Tesla stock split to justify that theory.
At the time, the EV maker’s stock was trading at $2,200 before the five-for-one exchange. The stock is priced at at least $2200, leaving only one option for investors with a trading budget.
There are plenty of investors in the market right now that could accommodate Tesla’s $440 post-split price. Despite all these arguments, no conclusive opinion can be drawn that shows that distribution stimulates demand later on and can create value in the absence of other factors.
Because it’s an authentic formula that earnings performance is ultimately the most powerful driver of stock price growth. So, a smart move for Apple shareholders is to assume negligible long-term effects from the company’s next dividend.
Will Apple Stock Split In 2024?
According to reports so far, Apple may not split its stock in 2024. If you look at today, the stock price is now almost half of what it was when the company announced its last distribution in 2020, a four-for-one exchange.
The company may also initiate a two-for-one split to return to the 2020 post-split trading price. However, this strategy may need to be revised with investors.
Another positive signal we have is that the Nvidia stock split was 10-for-1 after a very bullish period for AI Chip Designer. A two-for-one split of Apple after a more modest growth phase might signal that the leadership team is just chasing headlines.
apple stock price today
Stock Price
Stock price information is provided for informational purposes only and should not be considered as intended for commercial purposes. This information Apple does not specify itself; it is obtained from third-party information.
Pricing delayed by 20 minutes
$221.55
Change
+ $1.28
Volume
37.4M
AAPL Stock 12-Month Forecast
According to Wall Street 35 analysts, the past three months tend to represent a 12-month price trend for Apple.
The average price target for this forecast is $219.96, with a high consensus of $275 and a low consensus of $164.00.
Bottom Line
After all this discussion, we have concluded that investors may have to wait for the sixth stock split in Apple’s history. Apple is going to launch the iPhone 16 in a big way this fall. And there’s a strong possibility that Apple could speed up the timeline even further, coupled with a positive reception from Intelligence. However, the company has a way to justify the split earlier.
Which stock will split in 2024?
Its common stock is expected to open on the NASDAQ Capital Market on July 9, 2024, and trade on a split-adjusted basis. That is, it is expected that every 18 pre-split shares will represent one post-split share.
How high will Apple stock go in 2024?
Year | Median Price Prediction | Potential High |
2024 | $216 | $245 |
2025 | $237 | $315 |
2026 | $298 | $373 |
2030 | $561 | $1,009 |
What is Apple stock prediction for 2025?
According to stock market investors and experts, the Apple price target is 212.96 USD, with a high estimate of 275 USD and a low estimate of 125 USD.
Which stocks will boom in 2024?
Company and ticker symbol | Performance in 2024 |
Super Micro Computer (SMCI) | 188.2% |
Nvidia (NVDA) | 149.5% |
Vistra (VST) | 123.2% |
Constellation Energy (CEG) | 71.3% |
Will Nvidia stock split in 2024?
Nvidia ($NVDA) stock has gone through its sixth stock split, with shares trading at a tenth of the price between June 10, 2024 and May 31, 2024.