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Video: What is a Stock Split?
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Kingsway Financial Services Inc. is a holding company that owns or controls subsidiaries primarily in the extended warranty and business services industries. Its segments include Extended Warranty and Kingsway Search Xcelerator. It serves the extended warranty industry through its subsidiaries, IWS Acquisition Corporation (IWS), Penn Warranty, Preferred Warranties and Trinity Warranty Solutions. IWS is a licensed motor vehicle service agreement company and is a provider of after-market vehicle protection services distributed by credit unions in approximately 24 states and the District of Columbia to their members, with customers in all 50 states. According to our KFS split history records, Kingsway Financial Services has had 1 split. | |
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Kingsway Financial Services (KFS) has 1 split in our KFS split history database. The split for KFS took place on July 05, 2012. This was a 1 for 4 reverse split, meaning for each 4 shares of KFS owned pre-split, the shareholder now owned 1 share. For example, a 1000 share position pre-split, became a 250 share position following the split.
When a company such as Kingsway Financial Services 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 KFS split history from start to finish, an original position size of 1000 shares would have turned into 250 today. Below, we examine the compound annual growth rate — CAGR for short — of an investment into Kingsway Financial Services shares, starting with a $10,000 purchase of KFS, presented on a split-history-adjusted basis factoring in the complete KFS split history.

Growth of $10,000.00
Without Dividends Reinvested
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Start date: |
07/21/2015 |
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End date: |
07/18/2025 |
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Start price/share: |
$5.45 |
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End price/share: |
$14.32 |
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Dividends collected/share: |
$0.00 |
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Total return: |
162.75% |
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Average Annual Total Return: |
10.14% |
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Starting investment: |
$10,000.00 |
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Ending investment: |
$26,269.43 |
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Years: |
10.00 |
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Date |
Ratio |
07/05/2012 | 1 for 4 |
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