Microsoft investors should keep a close eye on the company as it faces pressure to split its stock due to its membership in the Dow Jones Industrial Average (DJIA). As one of the 30 stocks making up the price-weighted index, Microsoft’s high nominal price makes it a likely candidate for a share split. The DJIA’s administrators often encourage companies to split their shares to gain inclusion in the prestigious index.
Microsoft’s stock is nearing Apple’s pre-split price from 2020 and many analysts predict that the company will outperform the market in 2026, which could increase pressure on its stock price. However, other more expensive stocks like Goldman Sachs and Caterpillar may take priority for a potential split before Microsoft.
For now, investors should not expect a share split anytime soon as the Dow’s administrators have become less quick to encourage splits among their components. But with Microsoft’s high growth prospects in AI and its increasing stock price, it’s essential to monitor the situation closely.
Source: https://www.fool.com/investing/2026/02/18/stock-split-watch-is-microsoft-next