Apple’s stock is below $100 per share today. You didn’t wake up to some alternative universe. However this is your chance to get in on the action early so to speak. This is the first time in more than seven years that Apple shares will be in the reach of the average joe. Apple’s shares closed at $645.57 on Friday and how long will it take to get back to that kind of price again after the 7-for-1 stock split is anyones guess.
The way the split works is that all current shareholders as of June 2, 2014 received six additional shares of Apple stock for every share they now own. The price however will start trading on a split-adjusted basis on Monday.
What that also means is that the market is about to get flooded with lots of Apple shares. Apple stated that they are going to also increase their share buyback program. This is great news for shareholders and something Steve Jobs would not have done. They are upping the buyback to $90 billion.