PANW Stock Split Is Complete, Joining Google, Amazon, and Shopify
Palo Alto Networks (NASDAQ:PANW), a cybersecurity business, successfully completed a Panw stock (NASDAQ:PANW) split on Wednesday, making it the most recent technology company to do so this year. PANW stock (NASDAQ:PANW) is now suffering from the same bear market conditions as Amazon.com (NASDAQ:AMZN), Shopify (NYSE:SHOP), and Googles parent company Alphabet (NASDAQ:GOOGL).
As of the opening of the market on Wednesday, PANW shares have dropped by little more than one percent so far this year. The Relative Strength Rating for Palo Alto is 88 out of a possible 99 points, the highest attainable score.
On August 22, Palo Alto stated that it would be splitting its pawn stocks 3 for 1. Naturally, this will have an effect on the earnings predictions for PANW shares.
As a result of the three-for-one pawn stock split, Cowen analyst Shaul Eyal said in a report that the companys earnings per share for the fiscal year 2023 decreased to $3.14 from $9.42 and that the companys forecast for the fiscal year 2024 decreased to $3.87 from $11.60.
During this time, Google completed its 20-for-1 stock split on July 15, after the market had closed for the day. Since then, the price of GOOGL stock has fallen by more than 6%. The price of Google shares as a whole is down by about 28% this year.
PANW Stock: Making Shares More Affordable
The 20-for-1 stock split of Amazon went into effect on June 6. The price of AMZN stock has increased by 3.5% since that day. However, Amazon stock has fallen by 24% in 2022.
On June 28, Shopify completed its stock exchange of 10 for 1. Since the separation, SHOP stock has seen a decrease of approximately 7%. In addition, Shopify stock has seen a decline of 76% so far this year in the context of the bear market in technology equities.
The stock splits carried out by Palo Alto, Google, Amazon, and Shopify are designed, over the course of time, to make the companys shares more accessible to individual investors.
It has been shown by Bank of America that firms that announce stock splits enjoy an increase of 25% in the value of their shares one year following the announcement. In comparison, the S&P 500 has gained an average of 9% during the same time period. However, such gains did not take place when the market was experiencing a bear market.
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Author: Okoro Chinedu
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