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Video: What is a Stock Split?
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Arch Capital Group is a holding company. Through its subsidiaries, Co. provides insurance, reinsurance and mortgage insurance. Co.'s underwriting segments are: insurance, which includes construction and national accounts, excess and surplus casualty, lenders products, professional lines, programs, and property, energy, marine and aviation; reinsurance, which includes casualty, marine and aviation, other specialty, property catastrophe, and property excluding property catastrophe; and mortgage, which includes its U.S. primary mortgage insurance, U.S. credit risk transfer that are mainly with government sponsored enterprises and international mortgage insurance and reinsurance operations. According to our ACGL split history records, Arch Capital Group has had 2 splits. | |
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Arch Capital Group (ACGL) has 2 splits in our ACGL split history database. The first split for ACGL took place on May 12, 2011. This was a 3 for 1 split, meaning for each share of ACGL owned pre-split, the shareholder now owned 3 shares. For example, a 1000 share position pre-split, became a 3000 share position following the split. ACGL's second split took place on June 21, 2018. This was a 3 for 1 split, meaning for each share of ACGL owned pre-split, the shareholder now owned 3 shares. For example, a 3000 share position pre-split, became a 9000 share position following the split.
When a company such as Arch Capital Group 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 ACGL split history from start to finish, an original position size of 1000 shares would have turned into 9000 today. Below, we examine the compound annual growth rate — CAGR for short — of an investment into Arch Capital Group shares, starting with a $10,000 purchase of ACGL, presented on a split-history-adjusted basis factoring in the complete ACGL split history.
Growth of $10,000.00
Without Dividends Reinvested
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Start date: |
09/12/2014 |
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End date: |
09/10/2024 |
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Start price/share: |
$17.99 |
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End price/share: |
$111.28 |
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Dividends collected/share: |
$0.00 |
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Total return: |
518.57% |
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Average Annual Total Return: |
19.98% |
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Starting investment: |
$10,000.00 |
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Ending investment: |
$61,845.10 |
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Years: |
10.00 |
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Date |
Ratio |
05/12/2011 | 3 for 1 | 06/21/2018 | 3 for 1 |
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