There have been five stock splits for Nvidia stock (symbol: NVDA). The most recent stock split for Nvidia took place on July 20th, 2021.
Founded in 1993, Nvidia is an American-based multinational technological company. The company is known for its superior technology in solving computing problems and its work in AI, worth more than $100 trillion. In July 2021, Nvidia announced its most recent 4-for-1 stock split.
What is Nvidia’s stock split history?
|20 July 2021||4:1||x48|
|11 September 2007||3:2||x12|
|07 April 2006||2:1||x8|
|12 September 2001||2:1||x4|
|27 June 2000||2:1||x2|
Since its foundation in 1993, Nvidia has split stock five times in the years 2000, 2001, 2006, and 2007. Three of its stock splits were 2-for-1 splits while the one in 2007 was a 3-for-3 split. The most recent one in July 2021, was executed as a 4-for-1 split, where each Nvidia share would be split into four shares. The growth chart of Nvidia shows that every time the company’s stock was split, Nvidia saw a significant rise in investment with and without reinvestment of dividends.
Why did Nvidia decide to split its stock?
A stock split is done to reduce the price of a company’s stock. Pre-split, Nvidia’s stock trading price had significantly increased, which is why the company’s board of directors decided on the split. The 4-for-1 stock split will make Nvidia’s stock more accessible and in demand to investors, employees, and any other party interested. In addition, the increased accessibility is likely to improve the liquidity of Nvidia’s stock.
What was the price of Nvidia’s stock before the split?
The final price of Nvidia’s stock on 19 July 2021, one day before the announcement for a split was made public, was $751. Once the announcement was made, the original number of shares, which was 833, became 39,984, priced at $0.25 per share.
How does the Nvidia stock split work?
On a decided distribution date, each stockholder would receive three shares for each share they own, because of its 4-to-1 split. One share will now be divided into four shares and so will its trading price.
Where will NVIDIA stock be in 5 years?
Keeping in mind Nvidia’s financial history, experts predict that a long-term increase can be expected. It is predicted that a 5-year investment can result in a revenue increase of 56.49%.
Does NVIDIA pay a dividend?
Yes, Nvidia pays its shareholders a dividend of $0.16 per share and its annual dividend yield is 0.12%. Despite that, Nvidia’s dividend is less than the US market average which is 4.03%.
Who owns the most shares of NVDA?
The Vanguard Group Inc. owns the highest stake in Nvidia at 7.68%, owning 191,226,673 shares.
Who runs NVIDIA?
Jensen Huang founded the company in 1993 and since then has served it as President and Chief Executive Officer.
Overall, Nvidia’s board of directors decided to split the company’s stock for the fifth time in a 4-to-1 split. The core reason was to attract new investors and buyers and to improve the liquidity of their stock by making it more accessible, and experts claim that in the long term, it will bring significant growth.