10 For 1 Split Announced

Nvidia’s Stock Split Explained

10-for-1 Split Announced

Nvidia announced a 10-for-1 forward stock split in its fiscal first-quarter earnings report on Wednesday. The shares will begin trading on a split-adjusted basis on July 20th, 2023.

Benefits of the Split

The stock split is designed to make Nvidia stock more accessible to a wider range of investors. By reducing the share price, Nvidia hopes to attract new investors who may have been priced out of the stock at its previous price.

The split will also make it easier for employees to participate in Nvidia's employee stock purchase plan. Under the plan, employees can purchase Nvidia stock at a discount to the market price.

How the Split Works

Investors who hold Nvidia stock at the end of the trading day on Thursday, July 19th, 2023, will receive nine additional shares of Nvidia stock for each share they own. The new shares will be distributed on July 20th, 2023.

The split will not affect the total value of Nvidia's outstanding shares. The total number of shares will increase by a factor of 10, but the market capitalization of the company will remain the same.

Conclusion

Nvidia's stock split is a positive development for the company and its shareholders. The split will make Nvidia stock more accessible to a wider range of investors and will make it easier for employees to participate in the company's employee stock purchase plan. The split is expected to have a positive impact on Nvidia's stock price in the long run.