Two prominent companies seem ready to announce their first-ever stock separations.
For the last three years, artificial intelligence (AI) has taken center stage on Wall Street, but it’s not the only thing reshaping the global landscape. The Dow Jones Industrial Average, S&P 500, and Nasdaq Composite have seen a boost from investor enthusiasm surrounding stock splits in well-known firms.
A stock split allows a company to alter the number of shares and their prices simultaneously. While these changes might look significant, they don’t actually affect the company’s market value or its performance fundamentals.
These splits can adjust a company’s stock price but often bring noticeable investor interest. Reverse splits, on the other hand, tend to be avoided by investors as they’re generally attempted by struggling companies to avoid being delisted from major exchanges.
When a company announces a stock split, investors are typically keen to buy shares, especially if it makes the stock seem more affordable for those who can’t invest in fractional shares. Companies that do this often have a strong history of outperforming their peers.
Moreover, since 1980, companies that have executed forward splits have consistently outperformed the S&P 500. That’s why many investors keep an eye out for the next big stock split on Wall Street.
As 2026 approaches, it seems likely that two major firms will reveal significant stock splits.
Meta Platforms
The social media titan Meta Platforms is one of “The Magnificent Seven,” a group of highly influential businesses, with seven out of twelve public companies globally reaching $1 trillion in valuation so far. However, unlike its peers, Meta hasn’t executed a stock split, with its shares fluctuating between $600 and $800 throughout most of 2025.
High stock prices alone don’t trigger splits. For Meta, two factors may motivate the board to consider one.
Today’s changes
(-1.47%) $-9.68
current price
$650.41
Key data points
Market capitalization
$1.6 trillion
daily range
$643.50 – $664.39
52 week range
$479.80 – $796.25
volume
63K
average volume
18M
gross profit
82.00%
dividend yield
0.32%
One factor is the growing ownership of Meta shares by retail investors. Generally, if a company’s shares are mainly in the hands of institutional investors, there’s less need for a stock split. However, with over 29% of Meta’s shares owned by retail investors, a stock split seems justifiable.
Additionally, Meta’s growth potential indicates that its stock price is likely to keep rising. This reinforces the need for splits to allow individual investors to access long-term gains.
Meta oversees popular apps like Facebook, WhatsApp, Instagram, Threads, and Facebook Messenger, which collectively drew about 3.54 billion daily users in September. Advertisers are eager to reach Meta’s expansive audience, offering a premium for visibility, given the unmatched user base it has.
Beyond advertising, Meta is integrating AI into its platform, enhancing how ads are tailored for individual users to improve engagement.
Financially, Meta is a cash powerhouse, finishing the September quarter with nearly $44.5 billion in cash and securities. With $80 billion in operational cash flow for the first nine months of 2025, the company can invest in growth-related initiatives without the immediate pressure to turn profits.
It looks like Meta is set to be one of the standout stocks for splits in the upcoming year.
Image source: Getty Images.
Goldman Sachs
The second major firm poised for a landmark stock split in 2026 is investment banking giant Goldman Sachs.
Similar to Meta, Goldman Sachs has yet to initiate a split. It’s been over 13 years for Meta, while Goldman has been public for more than 26 years. The company’s stock price has skyrocketed from around $60 to $879 by the end of 2025.
Individual investors might find it tough to buy shares near $900. Notably, over 30% of Goldman’s shares are now owned by non-institutional investors, which should motivate the board to seriously consider a stock split.
However, there’s a catch: Goldman Sachs is a key player in the Dow Jones Industrial Average. As a price-weighted index, the Dow gives more influence to higher-priced stocks. So, splitting the stock would diminish its impact within the index.
Yet, it’s widely believed that Goldman’s stock will continue its upward trend, which may eventually require a forward split.
Today’s changes
(3.92%) $34.48
current price
$913.48
Key data points
Market capitalization
$274 billion
daily range
$880.93 – $913.50
52 week range
$439.38 – $919.10
volume
196
average volume
2.1M
dividend yield
1.53%
Goldman Sachs benefits from the cyclical nature of the business world, thriving during long periods of economic growth while navigating downturns as well. As such, its influence on mergers, acquisitions, and equity trading positions it well for ongoing success, especially amid stock market booms.
The company also has a strong track record of exceeding Wall Street’s profit expectations, frequently delivering earnings per share that surpass estimates.
As things stand, the environment is ripe for both Meta Platforms and Goldman Sachs to make history with their stock split announcements.
