Should You Buy Super Micro Computer Before or After Its Stock Split? Here's What History Says.

The countdown has begun. The latest tech stock split, from Super Micro Computer (NASDAQ: SMCI), is set to happen in a few days -- and the stock will open at its split-adjusted price as of Oct. 1. Supermicro announced a 10-for-1 split during its earnings report last month, joining several other market leaders and big tech players in launching such an operation in recent times. Nvidia, Broadcom, and high flyers in other industries such as Walmart and Chipotle Mexican Grill have split their stock this year.Companies generally decide on stock splits when their shares have climbed considerably, reaching levels investors may not want to pay, even if valuation remains reasonable. For example, Nvidia and Broadcom shares traded above $1,000 prior to their stock splits, a level that could represent a psychological barrier for some investors.Now, as the Supermicro operation approaches, you may be wondering if it's a better idea to get in on the stock right away, prior to the split, or if you should buy once the operation is complete. Let's take a look at what history has to say.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool