Alphabet Stock Split Aims to Mass Market Google Shares

Alphabet Inc. is bringing back big stock splits, so buyers won't need to spend $3,000 to own a 

SHARE. BRINGING DOWN THE PRICE ALSO ALLOWS GOOGLE'S PARENT TO INCLUDE AMERICA'S THIRD-

LARGEST COMPANY IN ITS MOST REVERED STOCK AVERAGE. LATE TUESDAY, THE COMPANY ANNOUNCED 

A 20-TO-1 INCREASE IN OUTSTANDING SHARES TO ENTICE THE HORDES OF SMALL INVESTORS WHO 

FLOCKED TO THE STOCK MARKET DURING THE PANDEMIC. “THE SPLIT MAKES OUR SHARES MORE 

ACCESSIBLE,” SAID RUTH PORAT, ALPHABET'S CFO, IN A CONFERENCE CALL WITH TV ANCHORS. “WE THOUGHT IT 

WAS SENSIBLE.” A LOWER STOCK PRICE MAKES IT EASIER FOR SMALL INVESTORS TO BUY SHARES 

RATHER THAN FRACTIONAL SHARES THROUGH THEIR BROKERS. BASED ON TUESDAY'S CLOSING PRICE OF $2,752.88, A 20-FOR-1 SPLIT WOULD REDUCE 

CLASS A SHARES TO ROUGHLY $138. SINCE 2005, THE STOCK HASN'T BEEN THAT CHEAP. “SIZE DOESN'T MATTER TO INSTITUTIONAL INVESTORS.” .