Stock-Split Winners Positioned for Exceptional Growth as Markets Embrace Restructured Equities

A stock split represents a significant corporate restructuring where companies divide existing shares into multiple new shares, effectively increasing share count while proportionally lowering the per-share price. This mechanism enhances affordability and liquidity for investors without fundamentally altering the company’s total market capitalization or individual investor stakes. In recent years, several premium-quality enterprises have executed stock splits while positioning themselves for substantial upside potential in the evolving investment landscape. For investors looking to deploy capital strategically, three stock-split stocks warrant serious consideration for long-term holdings.

Netflix: Streaming Pioneer Capitalizes on Premium Advertising and Global Momentum

Netflix executed a 10-for-1 stock split effective November 17, 2025, with shares subsequently trading near $94. Wall Street’s median 12-month price target stands at approximately $133, suggesting roughly 40% upside from the split-adjusted price point. Premium forecasts reach as high as 62% potential appreciation over the next 12 months.

The company’s most compelling growth narrative centers on its advertising-supported subscription tier, launched in late 2022. Netflix is on track to double its advertising revenue in 2025, with ads reaching 190 million monthly active users. This high-margin revenue stream opens an entirely new profitability pathway beyond traditional subscription models.

Netflix’s strategic expansion into live entertainment—particularly its partnerships with the NFL and WWE—has proven remarkably successful in acquiring subscribers and breaking viewership records. These premium events command elevated advertising rates, allowing the company to capture market share in segments where it previously underperformed. Additionally, geographic expansion in Asia-Pacific and Latin America provides access to underserved markets experiencing accelerated subscriber growth.

Q3 2025 results demonstrated record-setting performance, driven by a diversified content strategy. The animated film “KPop Demon Hunters” emerged as the quarter’s primary growth catalyst, becoming Netflix’s most-watched film with 325 million total views. The second season of “Wednesday” delivered over 1 billion viewing minutes, while “Black Rabbit” generated more than 1.2 billion viewing minutes. These content victories translated into 17% year-over-year revenue growth, reaching $11.5 billion, and commanding record viewing shares of 8.6% in the U.S. and 9.4% in the U.K.

The company’s stock-split announcement coincides with Netflix’s pursuit of an $82.7 billion acquisition of Warner Bros. Discovery—a transformative deal announced in early December 2025. Should regulatory approvals proceed, this consolidation would unite HBO, Warner Bros. Discovery’s studio operations, and the streaming service under Netflix’s ecosystem, substantially strengthening its competitive position.

Broadcom: Infrastructure Specialist Dominates AI Hardware and Networking

Broadcom completed a 10-for-1 stock split on July 15, 2024, with shares trading approximately $350 each. Wall Street analysts project 35% upside over the next 12 months, with optimistic scenarios reaching 58%. Notably, Broadcom’s Canadian Depositary Receipts underwent a separate 6-for-1 stock split effective November 14, 2025.

As a leading supplier of custom AI accelerators and Ethernet switches for hyperscale data centers, Broadcom serves the world’s most demanding technology customers, including divisions of Alphabet, Meta Platforms, Anthropic, and OpenAI. The company reported fiscal 2025 revenue of $64 billion, representing 24% growth compared to fiscal 2024’s $51.6 billion.

The AI semiconductor segment emerged as the growth powerhouse, generating $20 billion in fiscal 2025 revenue—a 65% year-over-year surge. Management guidance suggests this figure will double by Q1 of fiscal 2026. The semiconductor solutions division contributed $37 billion in revenue, up 58% annually, while infrastructure software achieved $27 billion in revenue, growing 26% year-over-year, primarily through increased adoption of VMware Cloud Foundation.

Broadcom’s November 2023 acquisition of VMware transformed the company into a complete AI infrastructure vendor, combining hardware expertise with enterprise software capabilities. This diversification provides stable, high-margin recurring revenue, offsetting potential margin compression from AI-specific hardware competition.

The company concluded fiscal 2025 with a commanding $73 billion backlog of AI-related hardware orders. Profitability metrics further underscore operational excellence: adjusted EBITDA reached $43 billion (up 35%), and the company generated $26.9 billion in free cash flow. This combination of dominant market positioning, robust hardware demand, and high-margin software operations creates a compelling profile for long-term investors seeking exposure to the AI infrastructure buildout.

ServiceNow: Enterprise Cloud Platform Positioned at AI Automation’s Epicenter

ServiceNow executed a 5-for-1 stock split on December 18, 2025, with shares trading on split-adjusted basis near $155. Wall Street demonstrates remarkable enthusiasm for the company’s growth trajectory, with median 12-month price targets reaching 640% above current levels. Premium forecasts extend to approximately 735% potential appreciation.

ServiceNow operates as a cloud-based enterprise control tower, enabling organizations to automate and orchestrate digital workflows spanning IT, human resources, customer service, security, and additional operational domains. The platform consolidates people, processes, and systems into unified workflows powered by artificial intelligence.

The company is strategically positioned to capitalize on generative AI adoption through its Now Assist product suite. These AI-enabled solutions are gaining substantial market traction and targeting $1 billion in annual contract value by the conclusion of 2026. ServiceNow’s platform permeates over 85% of Fortune 500 enterprises, establishing deep organizational integration that generates high switching costs and maintains renewal rates exceeding 96%.

The customer roster includes global titans such as Walmart, Amazon, Microsoft, Apple, JPMorgan Chase, and the U.S. Department of Defense, spanning virtually every major industry vertical. This enterprise foundation provides both stability and upsell opportunities as the company expands its AI-powered capabilities.

Recent strategic acquisitions underscore management’s aggressive investment in AI capabilities. ServiceNow purchased AI workflow automation firm Moveworks for $2.85 billion in March 2025. Reports suggest an imminent $7 billion acquisition of cybersecurity specialist Armis, which would integrate device security and asset intelligence capabilities while addressing AI governance requirements—potentially the company’s largest acquisition to date.

Q3 2025 financial results demonstrated consistent momentum: subscription revenue reached $3.3 billion, up 22% year-over-year. Current remaining performance obligations totaled $11.4 billion as of Q3 2025, reflecting 21% annual expansion. The company delivered adjusted earnings per share of $4.82 alongside $592 million in adjusted free cash flow, representing a 17.5% margin.

Recent market volatility surrounding the Armis acquisition announcement and broader technology sector fluctuations have created near-term headwinds. However, investors convinced of ServiceNow’s strategic positioning as a cornerstone platform for AI-driven workflow automation may find current valuations present compelling long-term opportunity.

Strategic Takeaway: Stock-Split Stocks as Growth Catalysts

These three businesses exemplify how strategically executed stock splits can coincide with transformative growth phases. Each company—whether through advertising expansion, infrastructure dominance, or AI-powered automation—occupies commanding competitive positions within secular growth trends. For investors with conviction in their long-term competitive advantages and strategic execution, these stock-split equities warrant consideration within a diversified investment approach.