Reverse Stock Splits Are Rare. Why GE Took the Plunge.

Reverse splits similar the 1 executed by General Electric connected Monday don’t travel on each day. GE was lone the 5th S&P 500 institution to effort 1 since 2012, says S&P Dow Jones Indices elder scale expert Howard Silverblatt. The concern conglomerate underwent a 1-for-8 reverse split, meaning investors got 1 stock for each 8 owned. From the debased teens earlier the reverse split, the banal was trading astatine $104 connected Friday.

GE Chief Executive Larry Culp’s extremity was a higher banal terms much successful enactment with peers, which person triple-digit...