MasterCard won't join club of $1,000 stocks

The company is planning a 10-for-1 split, which will cut its share price dramatically.

By MSN Money Partner Dec 11, 2013 12:56PM

Image: Man paying with credit card © UpperCut Images/UpperCut Images/Getty ImagesBy Wallace Witkowski, MarketWatch


The leading contender for the next $1,000 stock on the  Standard & Poor's 500 Index ($INX) just dropped out of the race.


Late Tuesday, MasterCard (MA) announced it was initiating a 10-for-1 stock split, along with an 83% dividend hike and a $3.5 billion stock buyback plan.


With the split slated for Jan. 9, it’s unlikely MasterCard will even make a token appearance as a $1,000 stock after closing at $763.61 Tuesday, even though shares were up nearly 3% at $784 in after-hours activity.


Priceline.com (PCLN) hit $1,000 in mid-September, while Google (GOOG) broke through the barrier in mid-October.


Back in August, before there were any $1,000 S&P 500 stocks , MasterCard appeared on course to hit the milestone after Priceline and Google.


Excluding MasterCard, only 3 stocks with a price more than $500 a share currently remain on the S&P 500: Graham Holdings (GHC), Apple (AAPL) and Chipotle Mexican Grill (CMG). 


More from MarketWatch


2Comments
Dec 11, 2013 2:19PM
avatar

This is great news.Many stocks should be split.Everybody in my investors club is always

complaining about companies not splitting their shares.They should be shareholder

friendly.

Dec 11, 2013 2:27PM
Report
Please help us to maintain a healthy and vibrant community by reporting any illegal or inappropriate behavior. If you believe a message violates theCode of Conductplease use this form to notify the moderators. They will investigate your report and take appropriate action. If necessary, they report all illegal activity to the proper authorities.
Categories
100 character limit
Are you sure you want to delete this comment?

DATA PROVIDERS

Copyright © 2014 Microsoft. All rights reserved.

Fundamental company data and historical chart data provided by Morningstar Inc. Real-time index quotes and delayed quotes supplied by Morningstar Inc. Quotes delayed by up to 15 minutes, except where indicated otherwise. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by Morningstar Inc.

STOCK SCOUTER

StockScouter rates stocks from 1 to 10, with 10 being the best, using a system of advanced mathematics to determine a stock's expected risk and return. Ratings are displayed on a bell curve, meaning there will be fewer ratings of 1 and 10 and far more of 4 through 7.

114
114 rated 1
280
280 rated 2
473
473 rated 3
639
639 rated 4
637
637 rated 5
662
662 rated 6
640
640 rated 7
498
498 rated 8
287
287 rated 9
121
121 rated 10
12345678910

Top Picks

SYMBOLNAMERATING
COPCONOCOPHILLIPS9
TAT&T Inc9
VZVERIZON COMMUNICATIONS9
KOGKODIAK OIL & GAS Corp9
CVXCHEVRON CORPORATION8
More

VIDEO ON MSN MONEY

ABOUT

Top Stocks provides analysis about the most noteworthy stocks in the market each day, combining some of the best content from around the MSN Money site and the rest of the Web.

Contributors include professional investors and journalists affiliated with MSN Money.

Follow us on Twitter @topstocksmsn.