Nvidia Announces 10-for-1 Stock Split

Company Unveils Shareholder-Friendly Move as Stock Soars

Nvidia (NVDA) made a significant announcement on Wednesday, May 22, 2024, unveiling a 10-for-1 stock split. This move is a testament to the company's strong financial performance and commitment to its shareholders.

As of Wednesday's closing bell, Nvidia shares were trading at $1224.40 apiece. The stock split will effectively divide each outstanding share into ten shares, resulting in a lower per-share price that could make the stock more accessible to a wider range of investors.

The decision to implement a stock split follows Nvidia's impressive quarterly earnings report. The chipmaker reported strong financial results, driven by increased demand for its graphics processing units (GPUs) used in gaming, data centers, and artificial intelligence applications.

Based on the closing price of $949.50 on Wednesday, each share will be worth approximately $94.95 after the split. This split is expected to be executed after the market closes on Friday, May 23, 2024.

Nvidia's stock split is a positive indication of the company's long-term growth prospects. By making the stock more affordable, Nvidia is increasing its appeal to a broader investment community, potentially further boosting its market capitalization.

Investors who hold NVDA shares as of the record date, which is expected to be announced shortly, will receive additional shares based on the 10-for-1 ratio. The split is not expected to affect the total value of shareholders' holdings but rather increase their number of shares proportionally.