The most common reason a company would declare a stock split is to reduce the market price of its share to increase the trading activity.

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A stock split is often done to increase the liquidity of a company's shares by making them more affordable to individual investors. This can lead to an increase in trading activity and potentially attract more investors to the company. By increasing the number of shares outstanding and reducing the market price per share, a company can achieve this goal without affecting the overall value of the company.

The Most Common Reason a Company Would Declare a Stock