Over the long-term, those shares can be expected to grow substantially. Investors who own the company’s shares as of June 21 will participate in the stock split and receive a dividend of three additional common shares for every share they hold. Of course, Nvidia is not a bad long-term investment. And investors wanting to cash in on short-term gains can ride the pre-split momentum to decent returns.

The company’s share price is likely to continue rising in the lead-up to the July 19 stock split. The announced split will require stockholder approval at the company's annual meeting in June.With NVDA stock rallying, now is the time for investors to buy.

Santa Clara, California-based Nvidia said stock holders of record on July 21 would receive dividend of three additional shares after the close of trading on July 19, with the stock trading on a split-adjusted basis beginning July 20. However, as brokerages increasingly allow customers to buy parts of shares, the benefit of share splits appears to have diluted over time.Īpple (AAPL.O) split its stock 4-for-1, while electric carmaker Tesla (TSLA.O) split its stock 5-for-1 last year, with both companies saying they aimed to make their shares more affordable to individual investors.

Stock splits can potentially attract retail investors who make small trades. The company's stock, which was last up at over $600 in premarket trading, has gained nearly 12% this year after its value more than doubled in 2020. May 21 (Reuters) - Nvidia Corp (NVDA.O) on Friday announced a four-for-one stock split as it looks to make its stock less expensive for investors, sending the chipmaker's shares up 3%.

Nvda split stock