Nvidia’s (NASDAQ:NVDA) long-awaited 10-for-1 stock split became official today, June 7th, 2024, after the market close. The tech giant had announced the stock split last month, following the release of its fiscal first-quarter results.
For each share of Nvidia stock that investors held before the split, they will now receive nine additional shares. The total value of the investment will remain unchanged, though the per-share price will be lower. Trading is expected to recommence on a split-adjusted basis when the market opens on Monday, June 10th.
Nvidia’s stock price closed at $1,208.88 on Friday, June 7th, down 0.1% from the previous day. This means that when trading resumes on Monday, investors can expect the share price to be around $120.89 (assuming the price stays the same).
The stock split is a move by Nvidia to make its stock more accessible to a wider range of investors. By lowering the per-share price, the company hopes to attract new investors who may have been priced out of the stock before the split.
It’s important to remember that a stock split does not change the underlying value of the company. It simply divides the existing shares into a larger number of shares with a lower price tag.