{"id":5901,"date":"2021-12-06T15:43:04","date_gmt":"2021-12-06T10:13:04","guid":{"rendered":"https:\/\/www.tickertape.in\/blog\/?p=5901"},"modified":"2022-05-24T10:38:55","modified_gmt":"2022-05-24T05:08:55","slug":"stock-split","status":"publish","type":"post","link":"https:\/\/www.tickertape.in\/blog\/stock-split\/","title":{"rendered":"What Is Stock Split \u2013 Meaning, Features, Types and Limitations"},"content":{"rendered":"\n

A company decides to share split or reverse stock split when its share prices are either too high or too low. A share split lowers the price of an individual share of a corporation by dividing each existing share into many shares. A lower share price is naturally more attractive, through which a company expands its investor base. As the new share price correlates to the new number of shares, it does not change the value of the shareholder<\/a>\u2019s stock and the company\u2019s market capitalization<\/a>. <\/p>\n\n\n\n

In contrast, a reverse stock split raises the share price and ensures a company’s listing on the stock market<\/a>.<\/p>\n\n\n\n

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