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 Video: What is a Stock Split?
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| American Water Works is a holding company. Through its subsidiaries, Co. is a publicly-traded water and wastewater utility company. Co. provides drinking water, wastewater and other related services to people in various states. Co.'s Regulated Businesses involve the ownership of utilities that provide water and wastewater services to residential, commercial, industrial, public authority, fire service and sale for resale customers. Co.'s Market-Based Businesses provide water and wastewater services to the U.S. government on military installations, as well as municipalities, and utility customers. According to our AWK split history records, American Water Works has had 3 splits. | |
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American Water Works (AWK) has 3 splits in our AWK split history database. The first split for AWK took place on March 04, 1985. This was a 2 for 1
split, meaning for each share of AWK 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. AWK's second split took place on May 29, 1987. This was a 2 for 1
split, meaning for each share of AWK 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. AWK's third split took place on July 26, 1996. This was a 2 for 1
split, meaning for each share of AWK owned pre-split, the shareholder now owned 2 shares. For example, a 4000 share position pre-split, became a 8000 share position following the split.
When a company such as American Water Works 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 AWK split history from start to finish, an original position size of 1000 shares would have turned into 8000 today. Below, we examine the compound annual growth rate — CAGR for short — of an investment into American Water Works shares, starting with a $10,000 purchase of AWK, presented on a split-history-adjusted basis factoring in the complete AWK split history.
Growth of $10,000.00
With Dividends Reinvested
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| Start date: |
10/07/2014 |
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| End date: |
10/03/2024 |
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| Start price/share: |
$48.40 |
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| End price/share: |
$144.68 |
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| Starting shares: |
206.61 |
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| Ending shares: |
249.27 |
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| Dividends reinvested/share: |
$19.79 |
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| Total return: |
260.64% |
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| Average Annual Total Return: |
13.69% |
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| Starting investment: |
$10,000.00 |
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| Ending investment: |
$36,063.68 |
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| Years: |
10.00 |
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Growth of $10,000.00
Without Dividends Reinvested
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| Start date: |
10/07/2014 |
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| End date: |
10/03/2024 |
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| Start price/share: |
$48.40 |
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| End price/share: |
$144.68 |
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| Dividends collected/share: |
$19.79 |
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| Total return: |
239.81% |
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| Average Annual Total Return: |
13.02% |
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| Starting investment: |
$10,000.00 |
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| Ending investment: |
$33,994.40 |
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| Years: |
10.00 |
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| Date |
Ratio |
| 03/04/1985 | 2 for 1
| | 05/29/1987 | 2 for 1
| | 07/26/1996 | 2 for 1
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