Nvidia's 10-for-1 stock split takes effect soon. What it means for your investment

  • 📰 CNBC
  • ⏱ Reading Time:
  • 20 sec. here
  • 7 min. at publisher
  • 📊 Quality Score:
  • News: 28%
  • Publisher: 72%

Investing Playbook Nachrichten

Jim Cramer,Investment Strategy,Markets

Stock splits don't matter — or do they? Here's what investors need to know ahead of Nvidia's 10-for-1 split.

Stock splits like Nvidia's don't matter, or do they? That debate seems to come up every time a new company announces plans to complete one. As with many investing questions, the answer is: It depends. Plenty of market observers downplay the importance of stock splits, arguing that a company carving up its stock into lower-priced pieces doesn't change a thing about its underlying fundamentals. They're not necessarily wrong.

In an investment account with $10,000, a single share of Nvidia is 12% of the portfolio. That's larger than what many might consider a "full position" size. Plus, a hallmark of our investment strategy is to never buy full positions at once; instead, we average in over several buys in order to improve our overall cost basis. A lower share price makes that far more manageable.

Wir haben diese Nachrichten zusammengefasst, damit Sie sie schnell lesen können. Wenn Sie sich für die Nachrichten interessieren, können Sie den vollständigen Text hier lesen. Weiterlesen:

 /  🏆 12. in DE
 

Vielen Dank für Ihren Kommentar.Ihr Kommentar wird nach Prüfung veröffentlicht.

Deutschland Neuesten Nachrichten, Deutschland Schlagzeilen

Similar News:Sie können auch ähnliche Nachrichten wie diese lesen, die wir aus anderen Nachrichtenquellen gesammelt haben.

Nvidia topples Apple with $3 trillion market cap; 10-for-1 stock split aheadInvestors keep piling into shares of Nvidia, which hit another fresh record high as the AI chipmaker prepares for its 10-for-1 stock split.
Herkunft: FoxBusiness - 🏆 458. / 53 Weiterlesen »