Part 3/7:
O'Reilly posed a key question regarding the rationale behind stock splits. Lewis elaborated on several motivations companies might have for splitting their stock. One prominent reason is to enhance accessibility for everyday investors. If a stock is trading at a high value—say $100 per share—a two-for-one split would reduce that price to $50, enabling more investors to enter the market. This was notably the case when Tim Cook announced Apple’s seven-for-one split, emphasizing the intent to make shares more accessible for a broader range of investors.