Tesla stock split: What investors need to know
Tesla's stock split is coming up soon. Here's what investors need to know.
Tesla's stock split is coming up on August 25, 2022. This means that each share of Tesla stock will be divided into three shares. The stock split is intended to make Tesla's stock more affordable for individual investors.
What is a stock split?
A stock split is a corporate action in which a company divides its existing shares into a larger number of shares. This is typically done to make the stock more affordable for individual investors.
Why is Tesla doing a stock split?
Tesla is doing a stock split to make its stock more affordable for individual investors. The company's stock price has been rising steadily in recent years, and it is now trading at over $1,000 per share. This has made it difficult for some individual investors to buy Tesla stock.
What will happen to my Tesla stock after the split?
After the stock split, you will receive three shares of Tesla stock for each share you currently own. The price of each share will be one-third of the pre-split price.
What are the benefits of a stock split?
There are several benefits to a stock split, including:
- Makes the stock more affordable for individual investors.
- Increases the liquidity of the stock.
- Can boost the stock price.
What are the risks of a stock split?
There is one potential risk of a stock split, which is that it can dilute the value of the stock. This is because the total number of shares outstanding will increase after the split.
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