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Video: What is a Stock Split?
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Arcadium Lithium is a lithium chemicals producer. Co. is engaged in the brine extraction, direct lithium brine extraction, hard rock mining, chemical processing and production of battery grade and specialty lithium products. According to our ALTM split history records, Arcadium Lithium PLC has had 3 splits. | |
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Arcadium Lithium PLC (ALTM) has 3 splits in our ALTM split history database. The first split for ALTM took place on June 28, 2000. This was a 11 for 10
split, meaning for each 10
shares of ALTM owned pre-split, the shareholder now owned 11 shares. For example, a 1000 share position pre-split, became a 1100 share position following the split. ALTM's second split took place on July 01, 2020. This was a 1 for 20 reverse split, meaning for each 20 shares of ALTM owned pre-split, the shareholder now owned 1 share. For example, a 1100 share position pre-split, became a 55 share position following the split. ALTM's third split took place on January 04, 2024. This was a 2406 for 1000 split, meaning for each 1000 shares of ALTM owned pre-split, the shareholder now owned 2406 shares. For example, a 55 share position pre-split, became a 132.33 share position following the split.
When a company such as Arcadium Lithium PLC 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 Arcadium Lithium PLC 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 ALTM split history from start to finish, an original position size of 1000 shares would have turned into 132.33 today. Below, we examine the compound annual growth rate — CAGR for short — of an investment into Arcadium Lithium PLC shares, starting with a $10,000 purchase of ALTM, presented on a split-history-adjusted basis factoring in the complete ALTM split history.
Growth of $10,000.00
Without Dividends Reinvested
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Start date: |
10/12/2018 |
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End date: |
04/24/2024 |
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Start price/share: |
$135.08 |
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End price/share: |
$3.87 |
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Dividends collected/share: |
$0.00 |
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Total return: |
-97.14% |
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Average Annual Total Return: |
-47.36% |
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Starting investment: |
$10,000.00 |
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Ending investment: |
$286.37 |
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Years: |
5.54 |
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Date |
Ratio |
06/28/2000 | 11 for 10
| 07/01/2020 | 1 for 20 | 01/04/2024 | 2406 for 1000 |
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