 |
Video: What is a Stock Split?
|
 |
| Farmer Bros. Co. is a coffee roaster, wholesaler, equipment servicer and distributor of coffee, tea and culinary products. It offers a robust product line, including organic, Direct Trade, Project D.I.R.E.C.T. and other sustainably produced coffees, iced and hot teas, cappuccino, spices, and baking/biscuit mixes, among others. It also offers services, such as market insight, beverage planning, and equipment placement and service. Its owned brand products are sold primarily into the foodservice channel. Its brands include Farmer Brothers, Artisan Collection by Farmer Brothers, Superior, Metropolitan, China Mist and Boyds. According to our FARM split history records, Farmer Brothers has had 1 split. | |
 |

Farmer Brothers (FARM) has 1 split in our FARM split history database. The split for FARM took place on May 11, 2004. This was a 10 for 1 split, meaning for each share of FARM owned pre-split, the shareholder now owned 10 shares. For example, a 1000 share position pre-split, became a 10000 share position following the split.
When a company such as Farmer Brothers 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 FARM split history from start to finish, an original position size of 1000 shares would have turned into 10000 today. Below, we examine the compound annual growth rate — CAGR for short — of an investment into Farmer Brothers shares, starting with a $10,000 purchase of FARM, presented on a split-history-adjusted basis factoring in the complete FARM split history.

Growth of $10,000.00
Without Dividends Reinvested
|
| Start date: |
09/12/2016 |
|
| End date: |
05/05/2026 |
|
| Start price/share: |
$33.46 |
|
| End price/share: |
$1.28 |
|
| Dividends collected/share: |
$0.00 |
|
| Total return: |
-96.17% |
|
| Average Annual Total Return: |
-28.70% |
|
| Starting investment: |
$10,000.00 |
|
| Ending investment: |
$382.31 |
|
| Years: |
9.65 |
|
|
 |
| Date |
Ratio |
| 05/11/2004 | 10 for 1 |
|
 |