Apple may be considering stock split: Bernstein

Reuters News
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Posted: Jul 31, 2012 10:17 AM
Apple may be considering stock split: Bernstein

NEW YORK (Reuters) - Bernstein Research on Tuesday wrote that Apple Inc <AAPL.O> may be considering a stock split, a move that could lead to the pricy company's inclusion in the Dow Jones Industrial Average <.DJI>.

The firm gave no reason for why Apple might take such a move, which would double the number of Apple shares while halving the price. Calls to Bernstein were not returned.

In a note to clients, senior analyst A.M. Sacconaghi wrote that a split would enable Apple to be considered for inclusion in the 30-company index, which he described as under-representing technology companies.

There are five tech companies in the Dow: International Business Machines <IBM.N>, Hewlett-Packard <HPQ.N>, Microsoft Corp <MSFT.O>, Intel Corp <INTC.O> and Cisco Systems <CSCO.O>.

The Dow is price-based, and includes only two companies that trade for more than $100 per share: IBM and Chevron Corp <CVX.N>. Apple is trading up 2 percent at $607.

(Reporting by Ryan Vlastelica; Editing by Dale Hudson)