Current:Home > Contact-usChipotle is splitting its stock 50-to-1. Here's what to know.-LoTradeCoin
Chipotle is splitting its stock 50-to-1. Here's what to know.
View Date:2024-12-23 20:37:03
Chipotle's stock is splitting 50-to-1 on Wednesday, a change the company describes as one of the biggest stock splits in the history of the New York Stock Exchange.
The stock split, the first in Chipotle's three-decade history, comes after the shares surged almost 350% during the past five years. As of Tuesday's trading close, the burrito chain was trading at the lofty price of $3,283.04 per share.
Companies typically turn to stock splits as a way to make their equity appear more affordable to investors, some of whom might balk at shelling out more than $3,200 for a single share. On an April conference call with investors, Chipotle Chief Financial Officer John Hartung said he believed the split will also make its shares "more accessible to our employees," as well as a broader range of investors.
When will Chipotle's stock split?
The split goes into effect at the start of trading on Wednesday, June 26. That means investors who owned the stock as of June 18 will receive 49 additional shares for each share they own.
As of 9:30 a.m. Eastern. on Wednesday, Chipotle shares will start trading at $65.66 per share.
What is Chipotle's market cap?
Chipotle's market value is about $90.1 billion, according to FactSet. But the stock split won't change its market capitalization, because the split simply resets the value of each stock at a lower proportional price, keeping the market value at the same level.
- In:
- Chipotle
Aimee Picchi is the associate managing editor for CBS MoneyWatch, where she covers business and personal finance. She previously worked at Bloomberg News and has written for national news outlets including USA Today and Consumer Reports.
TwitterveryGood! (513)
Related
- Brian Austin Green’s Fiancée Sharna Burgess Celebrates Megan Fox’s Pregnancy News
- 2 dead, 3 injured in Suffolk, Virginia shooting near bus service station
- Congo court sentences 3 Americans and 34 others to death on coup charges
- 3 are killed when a senior living facility bus and a dump truck crash in southern Maryland
- Smithfield agrees to pay $2 million to resolve child labor allegations at Minnesota meat plant
- New Boar's Head lawsuit details woman's bout with listeria, claims company withheld facts
- 'We have to remember': World War I memorials across the US tell stories of service, loss
- Astronauts left behind by Starliner set for press conference from ISS: Timeline of space saga
- Old Navy's Early Black Friday Deals Start at $1.97 -- Get Holiday-Ready Sweaters, Skirts, Puffers & More
- Aldi announces wage increases up to $23 an hour; hiring thousands of employees
Ranking
- US overdose deaths are down, giving experts hope for an enduring decline
- Aldi announces wage increases up to $23 an hour; hiring thousands of employees
- Latest Georgia football player arrested for reckless driving comes two days before SEC opener
- Lil Wayne says Super Bowl 59 halftime show snub 'broke' him after Kendrick Lamar got gig
- Vegas Sphere reports revenue decline despite hosting UFC 306, Eagles residency
- Fani Willis skips a Georgia state Senate hearing while challenging subpoena
- Canadian man admits shootings that damaged electrical substations in the Dakotas
- Tigers lose no-hitter against Orioles with two outs in the ninth, but hold on for win
Recommendation
-
How Saturday Night Live Reacted to Donald Trump’s Win Over Kamala Harris
-
Rachel Zoe and Rodger Berman, Tom Brady and Gisele Bündchen and More Who Split After Decades Together
-
Young climate activists ask US Supreme Court to revive their lawsuit against the government
-
Boeing workers on strike for the 1st time in 16 years after 96% vote to reject contract
-
Flurry of contract deals come as railroads, unions see Trump’s election looming over talks
-
Massachusetts police recruit dies after a medical crisis during training exercise
-
Aldi announces wage increases up to $23 an hour; hiring thousands of employees
-
Why is Mike Tyson fighting Jake Paul? He says it's not about the money