Tesla Stock Split
Tesla shares were up after the carmaker announced a 5 for 1 stock split.
Tesla stock split. Tesla announced a five for one stock split on tuesday evening. Teslas stock split done to make its stock more accessible to employees and investors according to reuters will add four new shares to each share of the stock held by investors. However the answer lies more in short term market psychology than long term fundamental business prospects. This kind of move changes nothing about a companys valuation but does somewhat artificially reduce the stock price.
The latest defeat came last week when tesla announced a 5 for 1 stock split. Tesla tsla noted in a statement that the split is intended to make stock ownership more accessible to employees and investors a stock split creates more shares of a company without changing. Are these maneuvers good or bad for investors. After the split the tesla stock price will be divided by four.
Apple and tesla arguably two of the markets most popular companies both announced stock splits in recent weeks. If you own 100000 worth of tesla now. So if tsla was trading at 1500 before the split it will trade at 300 after the split. The company announced the move in a press release late tuesday and shares tsla get report rose 56 in after hours.
Tesla nasdaqtsla shares got a nice boost on wednesday following word that the electric car maker will split its stock later this month. The split goes into effect after the close of trading on august 31.