Stocks to buy

3 Potential Stock Splits to Add to Your 2024 Radar

Stock splits are a common practice for corporations with high stock prices. These splits make it easier for investors to accumulate more shares which can lead to more demand. Many investors feel better about buying multiple shares at a time rather than purchasing a fractional share here and there. 

Stock splits can generate plenty of buzz and introduce new investors to various stocks. Also, they can grab the attention of options traders since call and put contracts will become more affordable. Investors looking for potential stock splits before they hit the news may want to consider these assets.

Broadcom (AVGO)

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Broadcom (NASDAQ:AVGO) is the most expensive stock on this list on a per-share basis. You’ll have to save up more than $1,200 just to buy a single share of the semiconductor and software giant. 

The firm has been a beneficiary of the artificial intelligence (AI) boom. Broadcom has been a reliable long-term stock, but the gains went into hyperdrive last year. The stock has more than doubled over the past year and has surged by 335% over the past five years.

Additionally, Broadcom is growing at a fast pace thanks to AI and its recent acquisition of VMware. The corporation kicked off fiscal 2024 with 34% year-over-year (YOY) revenue growth in the first quarter. An $8.29 billion stock buyback in the quarter made those results even better. 

Therefore, the company’s goal of generating $50.0 billion in fiscal 2024 revenue looks realistic. As the company reports better financials and AI momentum continues, shares can reach a price that warrants a stock split.

Deckers Outdoor (DECK)

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Deckers Outdoor (NYSE:DECK) is another that needs a stock split. The stock is closing in on $1,000 per share and has the momentum to reach that milestone. The stock is up by 130% over the past year and has gained 558% over the past five years. 

Any stock split will make shares of the recent S&P 500 addition more affordable for the average investor. Deckers Outdoor doesn’t only have momentum on its side. Its valuation and financial growth can also move the stock higher and raise more calls for a stock split.

Furthermore, Deckers Outdoor only trades at a 34 P/E ratio and has promising athletic apparel brands like Hoka and Ugg under its corporate umbrella.  Also, the company reported record revenue of $1.56 billion in Q3 FY24 which is a 16% YOY improvement. And, Deckers Outdoor raised its FY 2024 guidance and reported a 44% YOY increase in Q3 FY24 diluted earnings per share.

Thus, growth isn’t going away, and the company is expanding its profit margins too. That will lead to more gains and warrant a stock split.

Nvidia (NVDA)

Source: Poetra.RH /

Nvidia (NASDAQ:NVDA) is no stranger to the spotlight after gaining almost 2,000% over the past five years. The AI chip producer also isn’t a stranger to stock splits.

The firm has gone through five stock splits with the most recent one in 2021 which was a 4:1 split. Shares have more than quadrupled since that split. Nvidia stock has momentum on its side based on its 82% year-to-date (YTD) gain which suggests another stock split can be in the works. 

Nvidia’s recent ascent doesn’t indicate that shares are overvalued. Revenue and earnings growth have outpaced the stock’s 263% gain over the past year. The rally is backed by strong fundamentals and a dominant position in the AI industry. 

Truthfully, any news around Nvidia can generate significant momentum. The stock has a 1.73 beta which makes it more volatile than the broader stock market. A stock split announcement can send the stock higher even though splits do not have a material impact on a company’s long-term prospects.

On this date of publication, Marc Guberti held long positions in AVGO, DECK, and NVDA. The opinions expressed in this article are those of the writer, subject to the Publishing Guidelines.

Marc Guberti is a finance freelance writer at who hosts the Breakthrough Success Podcast. He has contributed to several publications, including the U.S. News & World Report, Benzinga, and Joy Wallet.

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