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Video: What is a Stock Split?
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Xiaobai Maimai is a holding company. Through its subsidiaries, Co. is engaged in providing social e-commerce platform to provide branded products through collaboration with online and offline merchants. Co. has a form of social e-commerce mobile platform, Xiaobai Maimai App. Co. utilizes its cooperation with domestic e-commerce platforms and services marketplaces as part of its buyer resources to select and source the goods and services. Co. provides a variety of products covering food and beverage, wine, cosmetic products, fashion and apparel, entertainment, housewares, home appliances and promotions at petrol gas stations nationwide. Co. has also launched the Elite Influencers Program. According to our HX split history records, HX has had 2 splits. | |
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HX (HX) has 2 splits in our HX split history database. The first split for HX took place on December 30, 1996. This was a 3 for 2
split, meaning for each 2
shares of HX owned pre-split, the shareholder now owned 3 shares. For example, a 1000 share position pre-split, became a 1500 share position following the split. HX's second split took place on August 24, 2020. This was a 1 for 3 reverse split, meaning for each 3 shares of HX owned pre-split, the shareholder now owned 1 share. For example, a 1500 share position pre-split, became a 500 share position following the split.
When a company such as HX 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. When a company such as HX 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 HX split history from start to finish, an original position size of 1000 shares would have turned into 500 today. Below, we examine the compound annual growth rate — CAGR for short — of an investment into HX shares, starting with a $10,000 purchase of HX, presented on a split-history-adjusted basis factoring in the complete HX split history.
Growth of $10,000.00
With Dividends Reinvested
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Start date: |
11/06/2017 |
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End date: |
12/15/2021 |
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Start price/share: |
$32.94 |
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End price/share: |
$2.24 |
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Starting shares: |
303.58 |
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Ending shares: |
317.15 |
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Dividends reinvested/share: |
$1.20 |
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Total return: |
-92.90% |
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Average Annual Total Return: |
-47.45% |
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Starting investment: |
$10,000.00 |
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Ending investment: |
$710.67 |
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Years: |
4.11 |
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Growth of $10,000.00
Without Dividends Reinvested
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Start date: |
11/06/2017 |
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End date: |
12/15/2021 |
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Start price/share: |
$32.94 |
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End price/share: |
$2.24 |
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Dividends collected/share: |
$1.20 |
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Total return: |
-89.56% |
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Average Annual Total Return: |
-42.29% |
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Starting investment: |
$10,000.00 |
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Ending investment: |
$1,044.34 |
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Years: |
4.11 |
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Date |
Ratio |
12/30/1996 | 3 for 2
| 08/24/2020 | 1 for 3 |
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