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Video: What is a Stock Split?
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SeaChange International is engaged in the delivery of multiscreen, advertising and over the top video management solutions. Co.'s software products and services facilitate the aggregation, licensing, management and distribution of video and advertising content for service providers, telecommunications companies, satellite operators, broadcasters and other content providers. Co.'s products provide video streaming, linear TV, and video advertising technology for operators, content owners, and broadcasters. Co.'s product portfolio consists of Operator TV Platforms, StreamVid, Advanced Advertising, and the Xstream Platform. Co. provides technical support and maintenance for its products. According to our SEAC split history records, SEAC has had 2 splits. | |
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SEAC (SEAC) has 2 splits in our SEAC split history database. The first split for SEAC took place on December 28, 1999. This was a 3 for 2
split, meaning for each 2
shares of SEAC owned pre-split, the shareholder now owned 3 shares. For example, a 1000 share position pre-split, became a 1500 share position following the split. SEAC's second split took place on May 23, 2023. This was a 1 for 20 reverse split, meaning for each 20 shares of SEAC owned pre-split, the shareholder now owned 1 share. For example, a 1500 share position pre-split, became a 75 share position following the split.
When a company such as SEAC splits its shares, the market capitalization before and after the split takes place remains stable, meaning the shareholder now owns more shares but each are valued at a lower price per share. Often, however, a lower priced stock on a per-share basis can attract a wider range of buyers. If that increased demand causes the share price to appreciate, then the total market capitalization rises post-split. This does not always happen, however, often depending on the underlying fundamentals of the business. When a company such as SEAC conducts a reverse share split, it is usually because shares have fallen to a lower per-share pricepoint than the company would like. This can be important because, for example, certain types of mutual funds might have a limit governing which stocks they may buy, based upon per-share price. The $5 and $10 pricepoints tend to be important in this regard. Stock exchanges also tend to look at per-share price, setting a lower limit for listing eligibility. So when a company does a reverse split, it is looking mathematically at the market capitalization before and after the reverse split takes place, and concluding that if the market capitilization remains stable, the reduced share count should result in a higher price per share.
Looking at the SEAC split history from start to finish, an original position size of 1000 shares would have turned into 75 today. Below, we examine the compound annual growth rate — CAGR for short — of an investment into SEAC shares, starting with a $10,000 purchase of SEAC, presented on a split-history-adjusted basis factoring in the complete SEAC split history.
Growth of $10,000.00
Without Dividends Reinvested
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Start date: |
04/01/2014 |
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End date: |
03/28/2024 |
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Start price/share: |
$209.80 |
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End price/share: |
$4.30 |
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Dividends collected/share: |
$0.00 |
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Total return: |
-97.95% |
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Average Annual Total Return: |
-32.22% |
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Starting investment: |
$10,000.00 |
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Ending investment: |
$204.87 |
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Years: |
10.00 |
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Date |
Ratio |
12/28/1999 | 3 for 2
| 05/23/2023 | 1 for 20 |
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