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 뉴스

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.

이 소식을 빠르게 읽을 수 있도록 요약했습니다. 뉴스에 관심이 있으시면 여기에서 전문을 읽으실 수 있습니다. 더 많은 것을 읽으십시오:

 /  🏆 12. in KR
 

귀하의 의견에 감사드립니다. 귀하의 의견은 검토 후 게시됩니다.

대한민국 최근 뉴스, 대한민국 헤드 라인

Similar News:다른 뉴스 소스에서 수집한 이와 유사한 뉴스 기사를 읽을 수도 있습니다.

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.
출처: FoxBusiness - 🏆 458. / 53 더 많은 것을 읽으십시오 »