What DuPont's coming 1-for-3 reverse stock split means for investors

DuPont’s coming 1-for-3 reverse stock split is scheduled to take effect on Wednesday morning, as the company seeks to align its per-share metrics with U.S. multi-industry peers after the Qnity spin-off. The change reduces the number of shares and proportionally raises the share price, with management stating it is cosmetic and will not affect the underlying value. DuPont is trading at roughly $47 per share versus about $162 for 3M, and is expected to earn $2.66 per share this year compared with 3M’s estimated $8.70, per FactSet. After the split, DuPont is expected to trade around $141, with EPS guidance implying roughly $7.02 to $7.16. The company said it is not doing the reverse split to meet an exchange listing requirement.