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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His fortune reached $20 billion in 2019 and skyrocketed the following year after a Tesla stock split, making Musk the world’s fifth centibillionaire — worth more than $100 billion — by Forbes’ estimate. Robert Frank,hayley Cuccinello, CNBC, 12 June 2026 The value of the entity through which Dolan owns both the Knicks and the New York Rangers has lagged far behind Forbes’ valuations of the two franchises for years, but an upcoming stock split could help attract investors. Danielle Chemtob, Forbes.com, 1 June 2026 After the dot-com bubble burst and Microsoft’s final stock split in 2003, shares entered a long holding pattern that lasted nearly a decade. Catherina Gioino, Fortune, 13 Mar. 2026 Led a complex 1-for-40 reverse stock split. Mark Curriden, Dallas Morning News, 6 Mar. 2026 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 14 Jun. 2026.

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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