With its stock trading near record-high levels, CSX Corp. on June 4 announced a 3-1 stock split.
The Jacksonville-based railroad company has been trading above $100 for most of the past month, with a high of $104.87 May 10.
It closed at $99.70 June 3 before the split announcement, which would give stockholders three shares worth about $33.23 each for every share they own.
CSX said it will continue to pay dividends at its current rate. The company is scheduled to pay a quarterly cash dividend of 28 cents a share on June 15, before the new shares are distributed June 28. So future dividends would be paid out at about 9.3 cents per share.
Companies commonly declare stock splits when share prices get high, to reduce the price of an individual share and make the stock more attractive to small investors.