Part 4/7:
Interestingly, not all companies embrace stock splits. Some management teams argue that such divisions are cosmetic alterations that do not reflect a company’s underlying fundamentals. High share prices might even signify a solid business, attracting long-term investors and reducing short-term speculation.
There’s a notable reference from Warren Buffett's 1983 letter to Berkshire Hathaway shareholders, where he articulated concerns about attracting fleeting investors over steadfast ones. While Buffett initiated a separate class of shares, he has never split his high-value voting shares, emphasizing the perceived benefits of maintaining a higher share price.