stock split

noun

: a division of corporate stock by the issuing to existing shareholders of a specified number of new shares with a corresponding lowering of par value for each outstanding share compare stock dividend

Examples of stock split in a Sentence

Recent Examples on the Web
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Shares of Rivian — following near-record gains Wednesday — are up roughly 16% in 2025, while Lucid remains off more than 40%, including a 1-for-10 reverse stock split this summer. Michael Wayland, CNBC, 5 Nov. 2025 The price of a share of Netflix is about to get less expensive, with the streaming giant’s board of directors signing off on a 10-for-one stock split, the company said Thursday. Alex Weprin, HollywoodReporter, 30 Oct. 2025 Netflix said Thursday that its Board of Directors has approved a 10-for-1 forward stock split of the company’s high-flying common stock that trades at well over 1,000 a share. Jill Goldsmith, Deadline, 30 Oct. 2025 The streaming giant announced Thursday that its board approved a 10-for-1 forward stock split of Netflix common stock. Todd Spangler, Variety, 30 Oct. 2025 See All Example Sentences for stock split

Word History

First Known Use

1950, in the meaning defined above

Time Traveler
The first known use of stock split was in 1950

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Cite this Entry

“Stock split.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/stock%20split. Accessed 11 Nov. 2025.

Legal Definition

stock split

noun
: the division of the outstanding shares of a corporation into a larger number of shares thereby reducing the value of each share but not the total value of each holding compare reverse stock split

Note: The purpose of a stock split is to make the stock more attractive to potential investors by reducing the price per share.

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