How much should my position be after a 5-1 stock split. For ever 5 shares, I get 1 share.
My position before split:
500 shares of ABC with average price of $25. ABC is trading at $9. My position is worth $8000 ($12500 - $4500).
After the 5-1 split:
100 shares of ABC with avg price of ?? ABC is trading at $45.
What should my average price be?
I think it comes out to 100 @ $125?