# Prof. Aswath Damodaran on how stock splits impact a company's value

1 Faculty News February 24, 2012 ![](/sites/default/files/styles/246w/public/assets/images/con_030601.jpg?itok=GeJte3i1)>

Excerpt from [Bloomberg Businessweek](http://www.businessweek.com/finance/apple-says-no-to-a-stock-split-02242012.html) -- "'Stock splits are empty gestures,' says [Aswath Damodaran](http://w4.stern.nyu.edu/faculty/bio/aswath-damodaran), a finance professor at NYU’s Stern School of Business. He says lowering stock prices can enlarge the pool of potential investors; with more investors bidding for a stock, the price can go up."

[Read more](http://www.businessweek.com/finance/apple-says-no-to-a-stock-split-02242012.html)