Apple: shares up after stock split
(CercleFinance.com) - Apple's 4:1 stock split was implemented this morning, leading the shares of the US tech giant to spike in early trading on Monday.
Shares of the Cupertino-based company rose by 2%. So far, more than 54 million shares have traded hands, beating the average volume of 39 million shares.
Despite the move, the company still seems to please Wall Street.
"A key part of the re-rating in the stock (despite the skeptics) remains the services business which we assign a valuation of between 900 billion dollars to 950 billion dollars and has been the Rock of Gibraltar for Apple during this stormy COVID backdrop", Wedbush said in a note this morning.
With Apple's stock split, the broker has accordingly adjusted its target price to 150 dollars and bull-case scenario to 175 dollars.
The stock split has been a challenge for the price-weighted Dow Jones index, reducing Apple's exposure from 12% to just 3%.
In response to Apple's decision, the Dow's constituents are being reshuffled, effective today, with Amgen, Honeywell, and Salesforce.com being added, and Exxon Mobil, Pfizer, and Raytheon being removed.
Amazon, Alphabet and Facebook still remain absent from the Dow.
Copyright (c) 2020 CercleFinance.com. All rights reserved.
Shares of the Cupertino-based company rose by 2%. So far, more than 54 million shares have traded hands, beating the average volume of 39 million shares.
Despite the move, the company still seems to please Wall Street.
"A key part of the re-rating in the stock (despite the skeptics) remains the services business which we assign a valuation of between 900 billion dollars to 950 billion dollars and has been the Rock of Gibraltar for Apple during this stormy COVID backdrop", Wedbush said in a note this morning.
With Apple's stock split, the broker has accordingly adjusted its target price to 150 dollars and bull-case scenario to 175 dollars.
The stock split has been a challenge for the price-weighted Dow Jones index, reducing Apple's exposure from 12% to just 3%.
In response to Apple's decision, the Dow's constituents are being reshuffled, effective today, with Amgen, Honeywell, and Salesforce.com being added, and Exxon Mobil, Pfizer, and Raytheon being removed.
Amazon, Alphabet and Facebook still remain absent from the Dow.
Copyright (c) 2020 CercleFinance.com. All rights reserved.