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 Video: What is a Stock Split?
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| Farmers & Merchants Bancorp is a bank holding company. Through its subsidiary, The Farmers & Merchants State Bank (Bank), Co. is engaged in general commercial banking business. The Bank's activities include commercial, agricultural and residential mortgage as well as consumer and credit card lending activities. Co.'s loan portfolio is comprised of loans made to customers in the farming industry for farm land, farm equipment, livestock and operating loans for seed, fertilizer, and feed. Other types of lending activities include loans for home improvements and loans for such items as autos, trucks, recreational vehicles and motorcycles. Co.'s loan activity also include commercial real estate. According to our FMAO split history records, Farmers and Merchants Bancorp has had 2 splits. |
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Farmers and Merchants Bancorp (FMAO) has 2 splits in our FMAO split history database. The first split for FMAO took place on May 15, 2006. This was a 4 for 1 split, meaning for each share of FMAO owned pre-split, the shareholder now owned 4 shares. For example, a 1000 share position pre-split, became a 4000 share position following the split. FMAO's second split took place on September 21, 2017. This was a 2 for 1 split, meaning for each share of FMAO 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 Farmers and Merchants Bancorp 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 FMAO 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 Farmers and Merchants Bancorp shares, starting with a $10,000 purchase of FMAO, presented on a split-history-adjusted basis factoring in the complete FMAO split history.
Growth of $10,000.00
With Dividends Reinvested
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| Start date: |
01/27/2010 |
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| End date: |
01/24/2020 |
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| Start price/share: |
$8.75 |
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| End price/share: |
$29.72 |
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| Starting shares: |
1,142.86 |
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| Ending shares: |
1,539.67 |
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| Dividends reinvested/share: |
$4.41 |
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| Total return: |
357.59% |
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| Average Annual Total Return: |
16.43% |
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| Starting investment: |
$10,000.00 |
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| Ending investment: |
$45,758.10 |
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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: |
01/27/2010 |
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| End date: |
01/24/2020 |
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| Start price/share: |
$8.75 |
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| End price/share: |
$29.72 |
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| Dividends collected/share: |
$4.41 |
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| Total return: |
290.06% |
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| Average Annual Total Return: |
14.59% |
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| Starting investment: |
$10,000.00 |
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| Ending investment: |
$39,021.61 |
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| Years: |
10.00 |
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| Date |
Ratio |
| 05/15/2006 | 4 for 1 | | 09/21/2017 | 2 for 1 |
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