One effect of the boom in artificial intelligence (AI) stocks is that it has also prompted companies to approve stock splits.
The most prominent of these were Nvidia, which executed a 10-for-1 forward stock split in June 2024, and Broadcom, which carried out its own 10-for-1 split one month later
Amid considerable stock price growth, another AI company has risen to a high nominal price, making it likely to split before the end of the year. The AI-driven stock split most likely to occur next Looking ahead, investors should watch for a stock split at semiconductor equipment maker ASML (NASDAQ: ASML). Many analysts call ASML “the most important company you’ve never heard of.” However, while some believe Wall Street is sleeping on this stock, “unknown” stocks rarely reach a nominal price above $1,600 per share.
Moreover, the long-term increases in the stock price are unlikely to stop. Its stock price is up by around 120% over the last year, likely because foundries need more of ASML’s equipment to produce the world’s most advanced AI chips, prompting more orders from companies like Taiwan Semiconductor Manufacturing, Intel, and Samsung. Still, investors will have to contend with an unusual stock split history.