What is a 2 for 1 share split?

Written by Editorial Team | Last Updated: August 2026

A 2-for-1 share split is a corporate action where a publicly traded company doubles the total number of its outstanding shares by issuing one additional share for every single share currently held by an investor. Under this action, if a shareholder owns 100 shares priced at $100 each, they will own 200 shares priced at $50 each following the split. While the share count doubles and the individual stock price halves, the overall market capitalization and total value of the investment remain completely unchanged. Companies execute share splits to lower the nominal per-share price, making the stock more accessible to retail investors and increasing trading liquidity.

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