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Video: What is a Stock Split?
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Keurig Green Mountain is engaged in the coffeemaker and coffee businesses. Co.'s operating structure consists of: Domestic, which sells brewers and accessories and sources, produces and sells coffee, hot cocoa, teas and other beverages, including its Keurig® Kold beverages, under a variety of brands in K-Cup®, Vue®, K-Mug, K-Carafe and Kold pods (pods), and coffee in packaging, including bags and fractional packs; and Canada, which sells hot system brewers and accessories, and sources, produces and sells coffee, teas and other beverages in pods and coffee in packaging, including bags, cans, and fractional packages under a variety of brands to retailers. According to our GMCR split history records, GMCR has had 4 splits. | |
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GMCR (GMCR) has 4 splits in our GMCR split history database. The first split for GMCR took place on January 12, 2001. This was a 2 for 1 split, meaning for each share of GMCR 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. GMCR's second split took place on July 30, 2007. This was a 3 for 1 split, meaning for each share of GMCR owned pre-split, the shareholder now owned 3 shares. For example, a 2000 share position pre-split, became a 6000 share position following the split. GMCR's third split took place on June 09, 2009. This was a 3 for 2 split, meaning for each 2 shares of GMCR owned pre-split, the shareholder now owned 3 shares. For example, a 6000 share position pre-split, became a 9000 share position following the split. GMCR's 4th split took place on May 18, 2010. This was a 3 for 1 split, meaning for each share of GMCR owned pre-split, the shareholder now owned 3 shares. For example, a 9000 share position pre-split, became a 27000 share position following the split.
When a company such as GMCR 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 GMCR split history from start to finish, an original position size of 1000 shares would have turned into 27000 today. Below, we examine the compound annual growth rate — CAGR for short — of an investment into GMCR shares, starting with a $10,000 purchase of GMCR, presented on a split-history-adjusted basis factoring in the complete GMCR split history.
Growth of $10,000.00
With Dividends Reinvested
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Start date: |
01/21/2015 |
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End date: |
03/03/2016 |
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Start price/share: |
$134.79 |
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End price/share: |
$91.67 |
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Starting shares: |
74.19 |
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Ending shares: |
75.31 |
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Dividends reinvested/share: |
$1.19 |
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Total return: |
-30.96% |
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Average Annual Total Return: |
-28.27% |
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Starting investment: |
$10,000.00 |
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Ending investment: |
$6,903.93 |
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Years: |
1.12 |
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Growth of $10,000.00
Without Dividends Reinvested
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Start date: |
01/21/2015 |
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End date: |
03/03/2016 |
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Start price/share: |
$134.79 |
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End price/share: |
$91.67 |
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Dividends collected/share: |
$1.19 |
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Total return: |
-31.11% |
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Average Annual Total Return: |
-28.41% |
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Starting investment: |
$10,000.00 |
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Ending investment: |
$6,888.91 |
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Years: |
1.12 |
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Date |
Ratio |
01/12/2001 | 2 for 1 | 07/30/2007 | 3 for 1 | 06/09/2009 | 3 for 2 | 05/18/2010 | 3 for 1 |
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