Ignore anyone who says share splits have no impact on your portfolio (or your dividends!).
They absolutely do set you up for a nice price bump. I’ve seen it time and time again. It’s easy to see why: when a company–especially a top-notch dividend grower–splits its shares, the move draws in folks who’ve been holding off, seeing the pre-split price as too expensive.
Let’s be honest: we’ve all done this. How many times have you avoided a stock because it trades for $300 a share? Or $500 (or whatever your idea of expensive is)?
Note: This article originally appeared at Contrarian Outlook.