Tesla Stock Split: What to Know about
the vote to Split Tesla Shares Again
By Devesh Tyagi
March 30 2022
Tesla Has Revealed that it is Considering another stock split, But whether that will happen will come down to a vote with Investors, Reports CNBC.
Over the past several years, stock splits have become popular with tech giants. Amazon and Google's parent company, Alphabet, are splitting later this year.
But Tesla has already split its stock as recently as 2020 (along with Apple). So why would the electric vehicle maker consider doing it again so soon?
What is a stock split?
It's when a company decides to make more shares available by dividing existing shares by a certain factor, such as 2 to 1.
When did Tesla last split its stock?
Tesla stock last split on August 31, 2020. That was a 5 to 1 stock split.
How do we knoew Tesla is thinking of splitting its stock again?
Because the company filed a Form 8-k with the Securities and Exchange Commission today
Who gets to vote for the stock split?
If you're a Tesla shareholder, you'll likely be able to vote for the measure at the company's 2022 annual meeting of stockholders.
How much would the stock split by this time?
Tesla hasn't announced that, and it's likely we wouldn't know until close to or after the vote.
When would the stock split?
Not until after the 2022 annaual shareholder meeting. If that's in October,that means Tesla stock wouldn't split until he end of the year at the earliest.
Why does Tesla want to split its stock again so soon?
Only Elon Musk knows for sure, but it could be to give a boost to the stock. Since its last stock split in August 2020.
Stock splits don't make shares more valuable by default, but they can serve to increase the popularity of a stock among retail investors due to the cheaper price, which could send shares higher.
For More Stories