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Video: What is a Stock Split?
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Applied Digital is engaged in the development of four proprietary technologies designed to enhance aviation safety and efficiency. These technologies include: AWSM, a technology developing into a system of sensors and other components to form a wake vortex avoidance system; SOCRATES®, a technology developing into a ground-based laser acoustic sensor to detect and track wake vortices at airports; UNICORN, a technology developing into an airborne radar for collision avoidance and ground proximity warning; and TIICM, a technology developing into a system to protect commercial and military aircraft against terrorist threats from heat seeking missiles. According to our APLD split history records, Applied Digital has had 1 split. | |
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Applied Digital (APLD) has 1 split in our APLD split history database. The split for APLD took place on April 13, 2022. This was a 1 for 6 reverse split, meaning for each 6 shares of APLD owned pre-split, the shareholder now owned 1 share. For example, a 1000 share position pre-split, became a 166.666666666667 share position following the split.
When a company such as Applied Digital 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 APLD split history from start to finish, an original position size of 1000 shares would have turned into 166.666666666667 today. Below, we examine the compound annual growth rate — CAGR for short — of an investment into Applied Digital shares, starting with a $10,000 purchase of APLD, presented on a split-history-adjusted basis factoring in the complete APLD split history.
Growth of $10,000.00
Without Dividends Reinvested
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Start date: |
04/14/2022 |
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End date: |
04/24/2024 |
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Start price/share: |
$4.78 |
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End price/share: |
$2.98 |
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Dividends collected/share: |
$0.00 |
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Total return: |
-37.66% |
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Average Annual Total Return: |
-20.76% |
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Starting investment: |
$10,000.00 |
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Ending investment: |
$6,235.10 |
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Years: |
2.03 |
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Date |
Ratio |
04/13/2022 | 1 for 6 |
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