Google’s parent company, Alphabet Inc. is set to execute its 20–1 stock split on Friday after market close, here’s what it means for investors.
The Split
There are two listed share classes of Alphabet, each with its own ticker symbol. GOOG shares are Class C shares with no voting rights, while GOOGL shares are its Class A shares, often known as common stock, which have the customary one-share-one-vote structure.Earlier in February, Alphabet announced its intention to split the stock, and shareholders voted in favor of the split in June. When Ruth Porat, the company’s chief financial officer, was asked why the company is splitting the stock, she said, “The reason for the split is to make our shares more accessible, we thought it made sense to do so.”
