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Video: What is a Stock Split?
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Royal Dutch Shell is a holding company. Co. and its subsidiaries are engaged in the principal aspects of the oil and gas industry. Co. operates two major business segments. Upstream is engaged in searching for and recovering crude oil and natural gas; the liquefaction and transportation of gas; the extraction of bitumen from oil sands that is converted into synthetic crude oil; and wind energy. Downstream is engaged in manufacturing; distribution and marketing activities for oil products and chemicals; in alternative energy (excluding wind); and carbon dioxide management. As of Dec. 31, 2010, total proved oil and gas reserves was 14,249 million barrels of oil equivalent. According to our RDSB split history records, RDSB has had 1 split. | |
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RDSB (RDSB) has 1 split in our RDSB split history database. The split for RDSB took place on July 20, 2005. This was a 100 for 116 reverse split, meaning for each 116 shares of RDSB owned pre-split, the shareholder now owned 100 shares. For example, a 1000 share position pre-split, became a 862.068965517241 share position following the split.
When a company such as RDSB 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 RDSB split history from start to finish, an original position size of 1000 shares would have turned into 862.068965517241 today. Below, we examine the compound annual growth rate — CAGR for short — of an investment into RDSB shares, starting with a $10,000 purchase of RDSB, presented on a split-history-adjusted basis factoring in the complete RDSB split history.
Growth of $10,000.00
With Dividends Reinvested
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Start date: |
04/25/2014 |
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End date: |
01/28/2022 |
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Start price/share: |
$80.58 |
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End price/share: |
$51.06 |
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Starting shares: |
124.10 |
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Ending shares: |
193.44 |
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Dividends reinvested/share: |
$25.17 |
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Total return: |
-1.23% |
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Average Annual Total Return: |
-0.16% |
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Starting investment: |
$10,000.00 |
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Ending investment: |
$9,876.40 |
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Years: |
7.77 |
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Growth of $10,000.00
Without Dividends Reinvested
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Start date: |
04/25/2014 |
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End date: |
01/28/2022 |
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Start price/share: |
$80.58 |
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End price/share: |
$51.06 |
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Dividends collected/share: |
$25.17 |
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Total return: |
-5.39% |
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Average Annual Total Return: |
-0.71% |
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Starting investment: |
$10,000.00 |
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Ending investment: |
$9,461.60 |
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Years: |
7.77 |
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Date |
Ratio |
07/20/2005 | 100 for 116 |
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