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Video: What is a Stock Split?
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AmerisourceBergen is a pharmaceutical sourcing and distribution services company. Co. is organized based upon the products and services it provides to its customers. Co.'s segment are: U.S. Healthcare Solutions, which distributes a provision of brand-name, specialty brand-name and generic pharmaceuticals, over-the-counter healthcare products, home healthcare supplies and equipment, and related services to a variety of healthcare providers; and International Healthcare Solutions, which distributes pharmaceuticals, other healthcare products, and related services to healthcare providers as well as engages in specialty transportation and logistics provider for the biopharmaceutical industry. According to our ABC split history records, ABC has had 2 splits. | |
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ABC (ABC) has 2 splits in our ABC split history database. The first split for ABC took place on December 29, 2005. This was a 2 for 1 split, meaning for each share of ABC owned pre-split, the shareholder now owned 2 shares. For example, a 1000 share position pre-split, became a 2000 share position following the split. ABC's second split took place on June 16, 2009. This was a 2 for 1 split, meaning for each share of ABC owned pre-split, the shareholder now owned 2 shares. For example, a 2000 share position pre-split, became a 4000 share position following the split.
When a company such as ABC 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.
Looking at the ABC split history from start to finish, an original position size of 1000 shares would have turned into 4000 today. Below, we examine the compound annual growth rate — CAGR for short — of an investment into ABC shares, starting with a $10,000 purchase of ABC, presented on a split-history-adjusted basis factoring in the complete ABC split history.
Growth of $10,000.00
With Dividends Reinvested
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Start date: |
12/11/2014 |
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End date: |
08/29/2023 |
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Start price/share: |
$92.55 |
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End price/share: |
$179.98 |
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Starting shares: |
108.05 |
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Ending shares: |
123.77 |
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Dividends reinvested/share: |
$14.01 |
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Total return: |
122.76% |
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Average Annual Total Return: |
9.62% |
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Starting investment: |
$10,000.00 |
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Ending investment: |
$22,271.61 |
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Years: |
8.72 |
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Growth of $10,000.00
Without Dividends Reinvested
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Start date: |
12/11/2014 |
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End date: |
08/29/2023 |
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Start price/share: |
$92.55 |
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End price/share: |
$179.98 |
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Dividends collected/share: |
$14.01 |
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Total return: |
109.61% |
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Average Annual Total Return: |
8.86% |
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Starting investment: |
$10,000.00 |
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Ending investment: |
$20,960.95 |
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Years: |
8.72 |
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Date |
Ratio |
12/29/2005 | 2 for 1 | 06/16/2009 | 2 for 1 |
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