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...Topics stock splits dividends dividend reinvestment plans drip firm divides its existing shares into multiple like a except it is expressed as ratio for example split the same price reduced when common explanation to return more desirable trading range reverse of are merged form smaller number proportionally valuable there many ways do this one simple way corporation cancel uniform fraction each shareholder s should can be used keep in optimal but most stocks purchased by institutional investors who have millions invest and indifferent levels plus expensive generally occur management confident so interpreted positive signals pay additional instead cash increases outstanding small less than large...