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Video: What is a Stock Split?
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Netflix, Inc. is a provider of entertainment services. Co. acquires, licenses and produces content, including original programming. Co. provides paid memberships in approximately 190 countries offering television (TV) series, films and games across a wide variety of genres and languages. Its members can play, pause and resume watching as much as they want, anytime, anywhere, and can change their plans at any time. Co. offers members the ability to receive streaming content through a host of Internet-connected devices, including TVs, digital video players, TV set-top boxes and mobile devices. According to our Netflix stock split history records, Netflix has had 2 splits. | |
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Netflix (NFLX) has 2 splits in our Netflix stock split history database. The first split for NFLX took place on February 12, 2004. This was a 2 for 1 split, meaning for each share of NFLX owned pre-split, the shareholder now owned 2 shares. For example, a 1000 share position pre-split, became a 2000 share position following the split. NFLX's second split took place on July 15, 2015. This was a 7 for 1 split, meaning for each share of NFLX owned pre-split, the shareholder now owned 7 shares. For example, a 2000 share position pre-split, became a 14000 share position following the split.
When a company such as Netflix splits its shares, the market capitalization before and after the split takes place remains stable, meaning the shareholder now owns more shares but each are valued at a lower price per share. Often, however, a lower priced stock on a per-share basis can attract a wider range of buyers. If that increased demand causes the share price to appreciate, then the total market capitalization rises post-split. This does not always happen, however, often depending on the underlying fundamentals of the business.
Looking at the Netflix stock split history from start to finish, an original position size of 1000 shares would have turned into 14000 today. Below, we examine the compound annual growth rate — CAGR for short — of an investment into Netflix shares, starting with a $10,000 purchase of NFLX, presented on a split-history-adjusted basis factoring in the complete Netflix stock split history.
Growth of $10,000.00
Without Dividends Reinvested
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Start date: |
01/21/2015 |
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End date: |
01/16/2025 |
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Start price/share: |
$58.47 |
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End price/share: |
$842.37 |
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Dividends collected/share: |
$0.00 |
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Total return: |
1,340.69% |
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Average Annual Total Return: |
30.59% |
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Starting investment: |
$10,000.00 |
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Ending investment: |
$144,033.69 |
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Years: |
9.99 |
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Date |
Ratio |
02/12/2004 | 2 for 1 | 07/15/2015 | 7 for 1 |
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