Split ratio
The ratio showing how many new shares a holder receives for each former one in a split or a consolidation.
How to read the number
Pure arithmetic: the holder's stake, the market capitalisation and the total payment are unchanged; only the price per share and the number of shares move.
When the metric lies
Dividend per share, earnings per share and historical quotes become comparable with the past only after they are restated for this ratio.
Also known as: split ratio