20.09.2024 12:25:00
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3 Artificial Intelligence (AI) Stock-Split Stocks That Could Help Set You Up for Life
Back in the dot-com boom era, stock splits became commonplace in response to soaring share prices. Amid the current artificial intelligence (AI) boom, a similar pattern could be developing. Already, several AI companies have split their shares, and more splits could be on the way among the others that are trading at lofty prices.Investors should understand that stock splits don't fundamentally change the value of a stock or the underlying business, but they usually come in the wake of significant share price appreciation, and signal management's confidence that the stock can keep going higher.There's also evidence, according to a Bank of America study, that stocks outperform in the year after they split. While there's no guarantee that any given stock-split stock will beat the S&P 500, it does offer historical evidence that the average stock-split stock does. On that note, these three AI stock-split stocks look like long-term winners.Continue readingWeiter zum vollständigen Artikel bei MotleyFool

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