Shares of PC gaming firm NVIDIA (NASDAQ: NVDA) jumped at the open after announcing a four-for-one stock split in the form of a stock dividend.
The company said the stock split will make stock ownership more accessible to investors and employees.
The stock dividend still needs to be approved by shareholders at the company's annual meeting on June 3 to increase authorised shares to 4 billion.
If shareholders approve, each NVIDIA stockholder at the close of business on June 21 will receive a dividend of three additional shares for every share held.
Trading is expected to begin on a stock split-adjusted basis on July 20.
NVIDIA's current share price is sitting at $605.61, up 3.61%. For the year-to-date, it is up 15.39% after gaining 5.7% in the past week.
Tech stocks offer some of the best growth potential, but time and time again, traders and investors ask us “what are the best tech stocks to buy?” You've probably seen shares of companies such as Amazon and Netflix achieve monumental rises in the past few years, but there are still several tech stocks with room for significant gains. Here is our analysts view on the best tech stocks to buy right now
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Sam is a professional trader and the lead stock market news writer at AskTraders. After starting his career in the forex market, Sam now focuses on gold and stocks with a preference for fundamental and macroeconomic analysis.