Stock Split Problem

Quicken can't accurately reflect a stock split. I welcome a solution; surely, many people have this problem.

After a 2 for 1 stock split, the price of the stock is half its previous value. No problem there. It's simple to reflect a "Stock Split" in my Quicken brokerage account, so I now have twice the number of shares. All good so far.

The problem is Quicken doesn't accurately reflect historic prices of the stock. Quicken has cut all historic prices by half. On an "adjusted" basis, that's correct; to show an apples-to-apples comparison of prices, you'd want to cut historic prices in half. But the historic number of shares I own has not doubled; that, too, is accurate--I didn't own twice the shares until the day the stock split was recorded. The result is my historic value of the stock position is half its accurate value.

For all accounting to be accurate, Quicken must either NOT cut all historic prices in half (I believe that is an accurate solution) or show my historic number of shares as double what I had.

Comments

  • Jim_Harman
    Jim_Harman SuperUser ✭✭✭✭✭
    Did it really cut ALL the historic prices in half when you look at the security's price history, or just the past few days? Sometimes Quicken's pricing data is out of sync with the split dates.
    QWin Premier subscription
  • Ps56k2
    Ps56k2 SuperUser ✭✭✭✭✭
    What are you looking at ....
    In the Stock Detail screen -
    A - the "graph" shows the Price History - with or without the Split Adjusted checkmarked
    B - the "graph" shows the Market Value - totally adjusted for any and all historical transactions.

    Quicken Subscription - Windows 10
  • q_lurker
    q_lurker SuperUser ✭✭✭✭✭
    edited October 5
    TomMaly said:
    Quicken can't accurately reflect a stock split. I welcome a solution; surely, many people have this problem.

    ...

    For all accounting to be accurate, Quicken must either NOT cut all historic prices in half (I believe that is an accurate solution) or show my historic number of shares as double what I had.
    To say Quicken can't ... is simply balderdash.  The program absolutely CAN handle stock splits correctly.  But it is also wholly accurate to say the program can royally screw stock splits up in a variety of ways.  

    To be fully accurate historically, the prior-to-split prices should NOT be adjusted for the split.  The price adjustment should appear coincident with the date of the split. 

    To the problem you cite with historical prices being halved, what I have seen is that the quote supplier may adjust historical prices for the split.  If the user has a full history of prices, those values should not be changed.  If the user's historical prices are incomplete, those adjusted prices from the quote supplier may get inserted incorrectly into the users historical records.  It can become a further problem to fix if data sources like Yahoo-finance also present only the split adjusted historical prices. 

    So I do feel your pain.  I have had instances where I needed to go all out to delete bad (historical split adjusted) prices and somehow rebuild the price-history with non-adjusted prices.   
  • Ps56k2
    Ps56k2 SuperUser ✭✭✭✭✭
    edited October 5
    For my recent ISRG split on 10/5 - I did the usual....
    A - delete the downloaded ADD Shares transaction
    B - create a Stock Split transaction reflecting the correct ratio of 3:1
    and then.... because somewhere, somehow, the Quicken Price History starts reflecting the stock split a WEEK prior to the split
    C - edit the Price History to better reflect the pricing and market value ... the entries from 9/29 -> 10/4 are wrong
    Subject to stockholder approval of the Amendment to the Certificate of Incorporation, each Intuitive stockholder of record at the close of business on the record date of September 27, 2021, will receive two additional shares for every one share held on the record date, and trading is expected to begin on a split-adjusted basis on October 5, 2021.

    Quicken Subscription - Windows 10
  • NotACPA
    NotACPA SuperUser, Windows Beta Beta
    It's been my experience that the price adjustment occurs on the Ex-Div day of the split ... rather than on the day of the split itself.
    I'd call this action at least defensible.
    Q user since DOS version 5
    Now running Quicken Windows Subscription, Home & Business
    Retired "Certified Information Systems Auditor" & Bank Audit VP
  • Ps56k2
    Ps56k2 SuperUser ✭✭✭✭✭
    Interesting.... I added that declared info to my Price History posting above....
    Quicken Subscription - Windows 10