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The Case for a Google Split

"That's a pretty powerful number," he says. "If we could outperform the market by 9% a year, we could end up in the same retirement home as Warren Buffett."

Recent aspects of the company's strategy also could make a split -- and a quick boost in share price -- more compelling. Google made its first large, all-stock acquisition in October this year, handing over shares worth $1.65 billion for the online video start-up YouTube. As the company seeks to expand beyond its core online advertising market, a higher stock price would mean that the price of new stock-based acquisitions would be cheaper.

While Google says it doesn't care about where its stock is on a quarterly basis, its share price equates to real money when making acquisitions.

But with its supposed concern for the little guy, Google's resistance to share splits has been especially puzzling. Google even took the unusual step of going around big Wall Street investment banks and selling its stock on an even footing to individual investors during its high-profile IPO.

And other tech companies without any particular admiration for individual investors, such as Microsoft (MSFT - Get Report), Yahoo! (YHOO - Get Report) and eBay (EBAY - Get Report) -- which split its stock six months after its IPO -- have been quick to split their stocks.

But as it transforms from a start-up on a mission to a corporate behemoth, Google may be focusing less on the little guy and more on its own interests.

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