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by msummers10 on January 22nd, 2007

msummers10

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How do companies determine how many shares to divide their stock into?(If worth $5 million, 1 million shares at $5 vs. 100,000 shares at $50)

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  • by Box of Chocolates on January 22nd, 2007

    Box of Chocolates

    There are a few aspects. They want as many people to buy shares, so a low price is the best, between $1 and $5. It is very probable that the price will rise to $50 or $100. It's called negotiability.

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