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 Video: What is a Stock Split?
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| REX American Resources operates in two reportable segments: alternative energy and real estate. As of Jan. 31, 2011, Co. maintained ownership interests in five ethanol entities, Big River Resources, LLC; Levelland Hockley County Ethanol, LLC; Big River Resources, LLC; Patriot Renewable Fuels, LLC; and One Earth Energy, LLC. Ethanol is a renewable fuel source produced by processing corn and other biomass through a fermentation process that creates combustible alcohol that can be used as an additive or replacement to fossil fuel based gasoline. The plants that Co. has invested in are designed to use the dry milling method of producing ethanol. According to our RSC split history records, RSC has had 2 splits. | |
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RSC (RSC) has 2 splits in our RSC split history database. The first split for RSC took place on August 13, 2001. This was a 3 for 2 split, meaning for each 2 shares of RSC 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. RSC's second split took place on February 12, 2002. This was a 3 for 2 split, meaning for each 2 shares of RSC owned pre-split, the shareholder now owned 3 shares. For example, a 1500 share position pre-split, became a 2250 share position following the split.
When a company such as RSC 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 RSC split history from start to finish, an original position size of 1000 shares would have turned into 2250 today. Below, we examine the compound annual growth rate — CAGR for short — of an investment into RSC shares, starting with a $10,000 purchase of RSC, presented on a split-history-adjusted basis factoring in the complete RSC split history.
RSC -- use the split history when considering split-adjusted past price performance. |
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| Date |
Ratio |
| 08/13/2001 | 3 for 2 | | 02/12/2002 | 3 for 2 |
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