Stock-Split Watch: ASML’s High Share Price Sparks Speculation
ASML's towering $700 share price positions it among semiconductor equities most likely to consider a stock split. Despite waning popularity in 2025, such corporate actions retain power to galvanize investor interest—a potential boon for the chipmaker battling an 18% annual decline.
Stock splits mechanically multiply outstanding shares while proportionally reducing price, preserving market capitalization. A hypothetical 10-for-1 split WOULD convert each $700 ASML share into ten $70 units. While fundamentally neutral, the maneuver enhances liquidity and dismantles psychological barriers for retail investors, particularly on platforms lacking fractional share functionality.
The specter of index eligibility looms—price-weighted benchmarks like the Dow Jones Industrial Average inherently favor lower-priced constituents. ASML's current valuation potentially excludes it from such benchmarks, limiting institutional demand.