The Qualcomm Skyrocket Paused Just Long Enough to Split 4 for 1

File this one under the heading “Best Laid Plans.”

In early November, San Diego-based Qualcomm Inc. announced a 4-for-1 stock split to help make its shares more affordable after a huge price run-up.

The wireless communication company’s stock price, which traded for less than $30 when 1999 began, had topped $224 per share by November.

Presumably, when Qualcomm Chairman Irwin Jacobs said he hoped the new stock split would “make it possible for more investors to share in the promising growth of our company and our industry,” he was thinking of a stock price in the $56 range (one-fourth of the $224 price on Nov. 2).

But by the time the stock split took effect Friday, Qualcomm’s stock price has soared still higher--far higher.

Qualcomm closed Friday at $176.13, up $14.38 for the day, reflecting the 4-for-1 split. For the year, it gave Qualcomm a gain of 2,619%.

The new, post-split price is more than three times the mid-$50s price Qualcomm was targeting when it announced the split two months ago.

Of course, it’s a happy quandary for shareholders. After all, the company could always announce another split.