Ross Stores to Split 2-for-1

Ross Stores (ROST) just announced that it will be splitting its stock 2-for-1. This means that shareholders will have twice as many shares, and the share price will fall in half.

A stock split doesn’t add any value by itself but a stock that splits every few years is seen as a healthy, growing enterprise. The split at Ross will happen on June 11.

In commenting on this action, Barbara Rentler, Chief Executive Officer, said, “We have delivered solid and consistent financial performance over the past few years which has contributed to significant stock price appreciation over this period. Our decision to split the stock reflects both the Board of Directors’ and management’s ongoing confidence in the Company’s future growth prospects and our continued commitment to enhancing stockholder value.”

To be clear, our Buy Below price will split 2-for-1 as well.

Ross has had four previous 2-for-1 splits; 1997, 1999, 2003 and 2011. One share bought 20 years ago for $11.50 is now 16 shares at $106.

Posted by on March 24th, 2015 at 8:56 am

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