Meta is splitting its stock: Here’s why, when, and what it means for investors

On Wednesday, Meta Platforms released its third-quarter earnings report with some news: a stock split is coming. The owner of Facebook, Instagram, and WhatsApp plans to split its shares (Nasdaq: META) in a move that will drop the company’s per-share stock price. If all goes well, Meta should end up with more money to fund its ongoing AI goals, but without forcing CEO Mark Zuckerberg to give up any of his voting power. Here’s everything you need to know about Meta’s upcoming stock split. What is a stock split? A stock split is an option that companies can use to increase the number of shares they have available. They might choose this to lower their stock price, making investment in the company more accessible, without changing the company’s overall value. In this case, Meta explains in a filing with the Securities and Exchange Commission (SEC) that the additional shares will be a new class of non-voting Class C common stocks. Taking such action ensures that current voting power—whether it be Zuckerberg’s or an investor’s—remains undiluted. How much is Meta splitting the stock by? Meta has opted for a two-for-one stock split. This means that each share’s value will be split in half…

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