Bank of America Highlights Potential Stock-Split Candidates: 2 Tech Stocks to Buy Hand Over Fist in 2025
Bank of America expects these fundamentally strong technology companies to announce stock splits in 2025.
The popularity of stock splits, particularly in the technology sector, has risen dramatically in the past few years. While stock splits do not change a company's fundamentals or market value, they have been known to trigger an emotional response from investors. The increased liquidity makes the stock more accessible to a larger shareholder base, which can positively affect share prices. Historically, stock-split stocks have been shown to grow between 25% and 30% in the year following the event. That's significantly better than the benchmark S&P 500's average annual growth of 10% to 12%.
Recently, Bank of America identified a list of 23 stocks that can be prime candidates for a stock split in 2025. Here's why two stocks from the list can be exceptional picks in 2025.
Looking at social media and digital advertising giant Meta Platforms (NASDAQ: META), there is a lot to be excited about these days, despite the overall market volatility. While the company's stock has pulled back by nearly 13.6% from its 52-week high of $740.90 in early February due to increasing macroeconomic and geopolitical uncertainty, shares are still up 9.3% in 2025.
