NEW YORK ( TheStreet --
(CRM - Get Report)
is trying to sell their stock for a cheaper price, looking at doing a 4-for-1 stock split. This way it'll be more affordable for the little folk. So Jim, how does an investor trade around something like that because usually you see a 2-for-1. ... This is a 4-for-1.
I think Marc Benioff, the CEO, is doing something that's very smart here. I think he's tired of having his stock be footballed by hedge funds, which is what happens when you have a very high-priced stock, and it's going to be run up and down by hedge funds that have enough money to be able to buy a lot of shares or by people who play in options. Now I know that it creates no value. A split creates no value whatsoever. But I think that we're in a battle of holders. Can you get the right holders vs. the wrong holders? Now I know this from
. People like to come on the show
because I have the right holders who watch the show. I've got individuals who are looking for a good stock.
Right. They're looking for a good stock, don't want to flip it, really want to own something that is very good and go for a little ride as long as the fundamentals hold up. But these stocks are too expensive. Now there had been another school of thought, which just said, "Warren Buffett is right," which is just let the stock run to the sky, and
is of that ilk ...
, which is an actual owners-plus-type company, as well as Apple, and Salesforce is not an Action Alerts PLUS name, but you are alienating a substantial number of people who would like to own the stock.
doing it ...
... These are all companies that have decided that the Buffett way is right. I know that to talk about a split is fatuous. It's a fatuous thing to split the stock, but if you're trying to get better holders it's going to work, and I think that's why you see the stock higher.