Prediction: This Artificial Intelligence (AI) Company Will Split Its Stock in 2025

Group 1: Stock Split Speculation - Stock splits in the tech sector have gained attention, with companies like Nvidia and Broadcom executing splits to attract more investors as their stock prices exceeded $1,000 per share [1] - Microsoft, currently priced around $420 per share, may also consider a stock split, contrary to some investors' assumptions [1] Group 2: Microsoft's Historical Context - Microsoft has not executed a stock split since 2003, having initiated nine splits between 1987 and 2003 [2][3] - The company's stock price has increased approximately 1,000% since Satya Nadella became CEO, reaching a record-high nominal price [3] Group 3: Market Dynamics - Despite its significant growth, Microsoft's stock price does not place it among the top 100 highest-priced stocks, which may not necessitate a split in the current market [4] - Microsoft is one of the more influential stocks in the Dow Jones Industrial Average, with only Goldman Sachs and UnitedHealth Group priced higher [5][6] Group 4: Competitive Pressure - Apple, another Dow stock, executed a 4-for-1 stock split in August 2020 when its stock price was around $450 per share, indicating potential pressure for Microsoft to follow suit [6][7] - Microsoft's previous stock splits were either 2-for-1 or 3-for-2, which may influence the nature of any future split [7] Group 5: Market Capitalization Considerations - A potential 2-for-1 split would align Microsoft's stock price with other Dow components and support its $3.1 trillion market cap [8] - Achieving a $4 trillion market cap is unprecedented, and such milestones typically lead to gradual changes, which could appease S&P Dow Jones Indices [8] Group 6: Future Expectations - It is anticipated that Microsoft will likely execute a stock split this year, driven by pressure from S&P Dow Jones Indices [9] - The company may take necessary actions to maintain its status within the Dow Jones Industrial Average, given the increased interest associated with being part of the index [10]