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JCP has been picked as a potential split target.

You hear a lot about how splits don't matter. This guy says differently.

Splitting up is not hard to do in these 7 cases{44B8AED2-6C56-4AD6-9FF6-B03E137A9960}&siteid=yhoo&dist=yhoo

Richard Moroney, editor of Dow Theory Forecasts, points out that academic researchers have found stock splits nevertheless to be a positive omen about the stock's subsequent potential. Though researchers are not in complete agreement as to why this might be so, Moroney offers four possible reasons:

+"Stocks tend to split when they are doing well, and stocks that are doing well tend to continue doing well."
+"Many companies report higher earnings or dividends at the same time they announce a split, giving the stock an extra boost."
+"Companies generally don't want to have very low share prices, so a split can signal confidence that management views recent share-price gains as sustainable."
+"Lower stock prices after the split can attract more individual investors."
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