In the past, prior to online brokerages and before there was no penalty for odd lot (<100 shares) trading, there was more corpoative incentive for splits.
The higher the price per share the less interest from daytraders, less daily and weekly churn, and therefore a more accurate reflection of the value of the biz at any given time. Taken to the extreme, I don't think there are many daytraders messing with BRK class A stock.. $355000 per share.. If you want to own a piece of BNSF you might have to settle for BRK.B.. economy class. Lots of people bet on stocks like putting money on a horse at the track.. To minimize their involvement and to encourage more serious buyers who are more likely to have more than a passing interest in the underlying business it is best to keep the price of each share fairly high... let the daytraders and opportunists chase the penny stocks.
BaltACDCSX has been trading in the upper 80's and low 90's for a period of time. Historically CSX trades in the 30's.
They might also do the same but maybe a 2 for 1 split. We'll see. A lot of the Wall Street Blue Chip stocks are priced excessively because none of them have done splits the last 10 years or so. Most are above $150-200 a share.
CSX has been trading in the upper 80's and low 90's for a period of time. Historically CSX trades in the 30's.
Never too old to have a happy childhood!
Yes, so at nearly $300 a share it is a little on the high side. So is UP and I am wondering when UP will propose the same since UP generally trades around $80 a share vs it's current approx $200 it has been averaging.
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