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Video: What is a Stock Split?
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United Community Banks is a bank holding company. Through its subsidiary, Co. provides a range of commercial and consumer banking services and investment advisory services. Co. provides a range of lending services, including real estate, consumer and commercial loans, to individuals, small businesses, mid-sized commercial businesses and non-profit organizations. Co. also originates loans partially guaranteed by the U.S. Small Business Administration and to a lesser extent by the U.S. Department of Agriculture loan programs. Co. provides its customers a variety of deposit products, including checking accounts, savings accounts, money market accounts and other deposit accounts. According to our UCBI split history records, United Community Banks has had 7 splits. | |
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United Community Banks (UCBI) has 7 splits in our UCBI split history database. The first split for UCBI took place on May 30, 2002. This was a 2 for 1 split, meaning for each share of UCBI 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. UCBI's second split took place on April 29, 2004. This was a 3 for 2 split, meaning for each 2 shares of UCBI owned pre-split, the shareholder now owned 3 shares. For example, a 2000 share position pre-split, became a 3000 share position following the split. UCBI's third split took place on September 03, 2008. This was a 10077 for 10000 split, meaning for each 10000 shares of UCBI owned pre-split, the shareholder now owned 10077 shares. For example, a 3000 share position pre-split, became a 3023.1 share position following the split. UCBI's 4th split took place on December 08, 2008. This was a 10077 for 10000 split, meaning for each 10000 shares of UCBI owned pre-split, the shareholder now owned 10077 shares. For example, a 3023.1 share position pre-split, became a 3046.37787 share position following the split. UCBI's 5th split took place on March 09, 2009. This was a 10077 for 10000 split, meaning for each 10000 shares of UCBI owned pre-split, the shareholder now owned 10077 shares. For example, a 3046.37787 share position pre-split, became a 3069.834979599 share position following the split. UCBI's 6th split took place on September 08, 2009. This was a 10077 for 10000 split, meaning for each 10000 shares of UCBI owned pre-split, the shareholder now owned 10077 shares. For example, a 3069.834979599 share position pre-split, became a 3093.47270894191 share position following the split. UCBI's 7th split took place on June 20, 2011. This was a 1 for 5 reverse split, meaning for each 5 shares of UCBI owned pre-split, the shareholder now owned 1 share. For example, a 3093.47270894191 share position pre-split, became a 618.694541788382 share position following the split.
When a company such as United Community Banks 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 United Community Banks 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 UCBI split history from start to finish, an original position size of 1000 shares would have turned into 618.694541788382 today. Below, we examine the compound annual growth rate — CAGR for short — of an investment into United Community Banks shares, starting with a $10,000 purchase of UCBI, presented on a split-history-adjusted basis factoring in the complete UCBI split history.
Growth of $10,000.00
With Dividends Reinvested
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Start date: |
04/29/2014 |
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End date: |
04/26/2024 |
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Start price/share: |
$16.04 |
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End price/share: |
$25.98 |
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Starting shares: |
623.44 |
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Ending shares: |
775.33 |
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Dividends reinvested/share: |
$5.78 |
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Total return: |
101.43% |
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Average Annual Total Return: |
7.25% |
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Starting investment: |
$10,000.00 |
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Ending investment: |
$20,135.99 |
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Years: |
10.00 |
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Growth of $10,000.00
Without Dividends Reinvested
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Start date: |
04/29/2014 |
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End date: |
04/26/2024 |
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Start price/share: |
$16.04 |
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End price/share: |
$25.98 |
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Dividends collected/share: |
$5.78 |
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Total return: |
98.00% |
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Average Annual Total Return: |
7.07% |
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Starting investment: |
$10,000.00 |
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Ending investment: |
$19,800.59 |
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Years: |
10.00 |
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Date |
Ratio |
05/30/2002 | 2 for 1 | 04/29/2004 | 3 for 2 | 09/03/2008 | 10077 for 10000 | 12/08/2008 | 10077 for 10000 | 03/09/2009 | 10077 for 10000 | 09/08/2009 | 10077 for 10000 | 06/20/2011 | 1 for 5 |
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