did avgo stock split: Broadcom 10-for-1

Broadcom (AVGO) stock split

did avgo stock split? Yes — Broadcom Inc. (NASDAQ: AVGO) enacted a 10-for-1 forward stock split in mid‑July 2024. This article summarizes the announcement, the record and effective dates, how the split was implemented, what it meant for shareholders, tax and accounting notes, market reaction, and how brokers handled the corporate action. Readers will get clear examples to calculate post‑split holdings and practical steps for monitoring positions on Bitget.

Background on Broadcom and AVGO ticker

Broadcom Inc. is a global technology company focused on semiconductors and infrastructure software. Its product lines span networking, storage, broadband, wireless components, and a portfolio of enterprise software assets acquired over recent years. Publicly traded on NASDAQ under the ticker AVGO, Broadcom is one of the largest-cap technology companies by market capitalization.

High absolute share prices — such as AVGO trading well above the typical retail-investor price range before mid‑July 2024 — often prompt companies to consider a stock split. Firms may choose a split to make individual shares more affordable for retail investors and employees, and to potentially increase liquidity and broaden the shareholder base.

Announcement and rationale

On June 12, 2024, Broadcom's Board of Directors declared a 10-for-1 forward stock split. The Board's public statement and accompanying investor FAQ (published in June 2024) cited the primary reasons as improving affordability for a wider range of investors, enhancing liquidity, and making equity awards more accessible to employees. The company provided an investor FAQ to explain mechanics and tax considerations.

As of July 15, 2024, according to Broadcom investor relations and the June 2024 investor FAQ, the stated intent was to increase the accessibility of AVGO shares without changing the company’s market capitalization or each shareholder’s proportional ownership.

Mechanics of the 10‑for‑1 split

The split was implemented as a forward stock split. Broadcom amended its certificate of incorporation to increase the number of authorized common shares to permit issuance of ten new shares for every one pre-split share. This action is a corporate reclassification that increases outstanding share count while proportionally reducing the per‑share market price.

Important clarifications:

• This was a forward split (not a dividend). Shareholders received additional shares rather than cash.
• Ownership percentages and voting power remain the same in proportion; the split does not dilute percentage ownership.
• The company adjusted authorized shares via charter amendment so that the increased outstanding shares were legally issuable.

Key dates and timeline

• Announcement date: June 12, 2024 — Broadcom Board declared the 10-for-1 split.
• Record date: Close of market July 11, 2024 — shareholders of record at this time were entitled to the split.
• Effective date: Amendment to the charter became effective after the close on July 12, 2024.
• First day of split‑adjusted trading: July 15, 2024 — AVGO quotes and trades reflected the post‑split share count and adjusted price.

These dates align with the company’s public filings and investor FAQ published in June 2024. For example, the record date determines who receives additional shares; settlement and custody systems and brokers then process the corporate action before the first split‑adjusted trading day.

Effect on shareholders and holdings

For most retail and institutional holders, the split’s practical result was mechanical:

• Share count: Each pre‑split share was converted into 10 post‑split shares. If you held 1 share before the split, you held 10 after; if you held 100 shares, you held 1,000 after.
• Share price: The market price per share generally adjusted down by roughly a factor of 10 on the first trading day after the split (excluding normal market movements). The total dollar value of a position should remain essentially the same immediately after the split, apart from market price changes due to trading activity.
• Total value and voting power: The split is not intended to change total account value or a shareholder’s percentage ownership and voting rights in the company.

Fractional shares: When a corporate action produces fractional shares, brokers handle them according to their policies. Many brokers aggregate fractional entitlements and pay cash in lieu, or they may round to deliver whole shares and issue a cash payment for the fraction. Policies vary by broker; check your broker’s notice (for Bitget custody customers, the corporate action is handled automatically and fractional procedures are described in account communications).

Dividends, tax and accounting treatment

Post‑split dividend declarations, if any, are made on the new post‑split share basis. For example, if Broadcom declares a per‑share cash dividend after the split, the per‑share amount would reflect the larger share count (typically the per‑share dividend would be about one‑tenth of the pre‑split amount if the company maintained the same aggregate payout).

Broadcom’s investor FAQ in June 2024 stated that the split is intended to be tax‑free for U.S. federal income tax purposes and generally treated as a recapitalization (i.e., no immediate gain or loss recognized solely due to the split). However, individual tax consequences can differ based on basis allocation, rounding of fractional shares, and investors’ personal tax situations. Investors should consult their tax advisors for definitive guidance.

From an accounting perspective, a stock split adjusts the number of shares outstanding and the par value per share (if applicable) while leaving total shareholders’ equity unchanged. Companies typically disclose the split in periodic filings; shareholders’ cost basis must be allocated across the increased number of shares for future gain/loss calculations.

Market reaction and trading implications

Stock splits can have several short‑term market effects commonly observed across large‑cap stocks:

• Retail accessibility: Lower nominal share prices can make shares appear more affordable to smaller retail investors and employees exercising equity awards.
• Liquidity: A larger number of freely tradable shares can increase trading volume and depth, though evidence varies by case.
• Market capitalization: A split does not change a company’s market capitalization by itself — market cap = share price × shares outstanding. Adjustments to price and shares offset.

On the split date, AVGO trading quotes and historical price series were adjusted to reflect the 10-for-1 split. Market-data providers and charting services typically apply a split adjustment factor to pre‑split historical prices so that long‑term charts show consistent price series post adjustment.

As of July 15, 2024, broad market-data pages reported that AVGO opened and traded at roughly one‑tenth of its pre‑split nominal price, with trading volumes shown in split‑adjusted terms. Any immediate price moves after the split reflect market supply and demand rather than the mechanical effect of the split itself.

How to calculate post‑split holdings (examples)

Use a simple formula to compute post‑split holdings:

Post‑split shares = Pre‑split shares × Split ratio

Where the split ratio for a 10‑for‑1 forward split is 10.

Examples:

• 1 pre‑split share → 1 × 10 = 10 post‑split shares.
• 100 pre‑split shares → 100 × 10 = 1,000 post‑split shares.
• Pre‑split price $1,400 → approximate post‑split price $140 (1,400 ÷ 10 = 140). This ignores normal market fluctuations.

To compute the new cost basis per share for tax reporting:

Post‑split cost basis per share = Pre‑split cost basis per share ÷ Split ratio

Example: If your pre‑split basis was $1,200 per share, the post‑split basis would be $1,200 ÷ 10 = $120 per post‑split share.

Broker and platform handling

Brokers and custodians typically process corporate actions like stock splits automatically. Practical points to note:

• For custodial accounts, the broker will credit the additional shares to your account; this often happens overnight after the record date or within a few business days but may vary by broker.
• Scheduled or open orders may be adjusted, suspended, or canceled around the record and effective dates. Some brokers notify customers in advance about order handling; others state that orders might be re‑entered automatically at adjusted prices.
• Account displays (position counts and per‑share prices) may take one or more business days to fully reflect the split, although many platforms show estimated adjustments on the first split‑adjusted trading day.

For Bitget users: Bitget applies corporate actions per standard processing policies and will reflect the post‑split share count and adjusted values in account statements. If you use Bitget Wallet for custody or holding, follow the wallet notifications for details on share allocation and fractional handling.

Example broker notice behavior (illustrative): Cash App and other brokers published notices in June/July 2024 describing that fractional shares may be cashed out and that orders could be paused near the record date. Check your broker's customer notifications for specifics.

Historical context and comparisons

Broadcom has not split shares frequently in recent decades. The 2024 10-for-1 split is a significant corporate action because AVGO had been trading at a high nominal price. Large technology companies sometimes use splits to broaden retail participation; notable historical examples include high-profile splits by other tech firms that moved shares into lower numerical price ranges.

Comparisons to other splits show common themes: companies with sustained price appreciation and large market caps may opt for a split to increase affordability. However, the economic fundamentals of the company do not change because of a split. Long-term investors typically view splits as cosmetic adjustments separate from fundamental performance.

Market data snapshot (reporting context)

As of July 15, 2024, according to Broadcom’s investor relations materials and major market-data providers, Broadcom’s market capitalization remained in the hundreds of billions of dollars after the split — the split adjusted only the per‑share price and number of outstanding shares. Daily trading volumes reported in public data feeds were displayed on a split‑adjusted basis to maintain historical continuity.

Specific quantifiable metrics reported by market providers around the split included approximate pre‑split AVGO share prices near $1,200–$1,500 in the weeks before the split and post‑split nominal prices near one‑tenth of those levels on July 15, 2024. Exact figures vary slightly among data vendors; consult your broker or major market‑data services for the official trading records for the dates in question.

Frequently asked questions (FAQ)

FAQ

Will my total value change?

No. A 10-for-1 forward split multiplies shares by 10 and divides the per‑share price by approximately 10. The total market value of your holdings should remain effectively unchanged immediately after the split, apart from normal market price movements.

Will voting power change?

No. Your percentage ownership and voting power remain the same after the split because all shareholders receive the same proportional increase in shares (unless fractional share handling alters exact counts for very small holdings, in which case brokers’ cash‑in‑lieu policies apply).

What about fractional shares?

Fractional shares may be created if a shareholder’s pre‑split holdings do not divide evenly by the split ratio. Brokers have differing policies: some pay cash in lieu for fractions, some aggregate fractions across accounts, and some credit fractional shares where allowed. Check your broker's corporate action notice for specifics. Bitget customers will receive account notices describing how fractions are handled.

Do I need to take action?

No immediate action is typically required. Corporate actions are processed by custodians and brokers. You should review broker communications to confirm how the split will appear in your account and consult a tax advisor if you have tax‑related questions.

did avgo stock split — final check?

Yes. For clarity: did avgo stock split? Yes — the 10-for-1 split was announced June 12, 2024, had a record date of July 11, 2024, an effective charter amendment on July 12, 2024, and the first split‑adjusted trading day on July 15, 2024.

Sources and further reading

Primary authoritative sources for this summary include Broadcom’s investor relations materials and the June 2024 stock split investor FAQ and press release (announcement June 12, 2024). Additional market‑data and historical split information were reported by recognized financial-data providers and split‑history databases. Broker notices (for example, customer communications in June/July 2024) described operational handling and fractional share policies.

Sources referenced in creating this article (reporting context):

• Broadcom investor relations — stock split announcement and June 2024 investor FAQ (announcement dated June 12, 2024)
• Major market-data and split-history providers (reported market cap and split‑adjusted prices as of July 15, 2024)
• Broker corporate action notices published in June/July 2024 regarding fractional share handling and order processing

As of July 15, 2024, according to Broadcom investor relations and public market-data providers, the 10-for-1 split was implemented and markets reflected the adjusted share counts on the first trading day following the effective date.

See also

• Stock split (general)
• Corporate actions and shareholder records
• Broadcom corporate profile
• How brokers handle corporate actions

Final notes and next steps

If you hold AVGO or follow Broadcom, check your Bitget account statements for post‑split positions and any specific notices about fractional shares. For custody across Bitget Wallet, confirm that holdings display the expected post‑split share counts and consult Bitget support or your tax advisor for account‑specific or tax questions. To explore trading or custody options after the split, consider reviewing Bitget’s platform features and wallet functionality to manage your positions and corporate‑action notifications.

did avgo stock split — yes, and this guide explains the what, when, and how so you can verify your holdings, understand tax basics, and see how platforms like Bitget handle such corporate actions.