Tesla Seeks Second Stock Split. What Everyday Investors Should Know

Tesla on Monday announced its intentions to split its stock for the second time in two years. The stock split — though not official just yet — would result in a lower price for Tesla shares. Amazon and Google will both be splitting shares 20-to-1 (June 3 and July 1) We don’t yet know what Tesla’s split ratio will be or when the split will occur. We’ll explain what a stock split is, how it affects investors and the share price and why companies would be interested in pursuing a such a move. A stock split divides existing shares into smaller pieces, causing the total count to go up to go down to a total of about 50,000, or less than 1,000 shares in circulation. The split is an uncommon occurrence. . . .

[su_button url=’https://www.cnet.com/personal-finance/investing/stock-market/what-is-a-stock-split/’ target=’_blank’ style=’ghost’ background=’#010066′ color=’#010066′ size=’2′ wide=’no’ center=’no’ radius=’auto’]Read more at www.cnet.com[/su_button]