Deutsche Bank Comments on Cerner Stock Split

Yesterday afternoon, Cerner

announced that its Board of Directors has authorized a 2-for-1 share split, Deutsche Bank reports. “The date of record is June 15, and the share split becomes effective on June 24,” Deutsche Bank writes. “Cerner currently has ~84.4 million shares outstanding and will have ~168.8 million shares outstanding upon completion of the share split. “We view this as an incremental positive for Cerner shares as it gives the stock increased liquidity. We continue to view Cerner as well-positioned for the stimulus-driven growth due to its broad product suite and expanding service offering. However, we view the risk/reward profile as balanced at current trading levels and therefore we reiterate our Hold rating.” Cerner closed Tuesday at $120.10.