Cablevision declares 2-for-1 split
Stock has risen nearly 600% over last 18 months
Cablevision stock has soared almost 300% in the past year and almost 600% in the past 18 months to make it one of the best performing stocks in the entertainment sector, although it fell $2.25 Thursday to $83 amid a heavy market slump.
While stock splits theoretically don't add value to investors' holdings, they can bring more investors into a stock by both reducing the absolute price for a stock and making more stock available.
"Cablevision set an objective of keeping its shares accessible to the marketplace when we announced our previous stock split in March. The market's continued recognition of the underlying value of the company is certainly gratifying," said Cablevision CEO James Dolan.
Cablevision hasn't been the only showbiz company to split its stock. Walt Disney Co., whose stock had been trading as high as $127, recently split 3-for-1, bringing it to about $37.
And with Time Warner stock trading close to $100 in recent days, some on Wall Street speculate that entertainment conglom will also split its stock -- confirming the dramatic turnaround from the long period of stagnation that kept Time Warner's stock price trading between $30 and $40.
