Will Tesla’s (TSLA) Stock-Split Boost Interest In Company Shares?
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Summary:
- Tesla 3-for-1 stock split approved by shareholders.
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Tesla 3-for-1 stock split
On August 4, Tesla (TSLA) shareholders approved the proposed 3-for-1 stock split. On August 25, Tesla stock will start trading at the revised split price, and the number of outstanding shares will rise to 4 billion. The Tesla stock split is thought to boost interest in the company's shares.
Tesla announced Q2 profits in July that exceeded expectations. The next day, shares increased 10%. In advance of the news of the anticipated Tesla stock split, they have continued to rise. For the first time since early May, Tesla shares surpassed the 50-day moving average on July 8. The current attempt to get over the 200-day line is encountering resistance. Stock is still much below previous highs.
The day following the Tesla stock split vote, the price of Tesla stock fell by 6.6 percent on above-average activity. Shares are not at a good time to buy them right now. According to MarketSmith's analysis of the daily chart, shares are in a lengthy consolidation with a 1,208.10 buy point. Although the stock needs more time, a narrow trading range around current levels may result in an alternative entry for aggressive traders.
TSLA Price Chart
Sources: finance.yahoo.com, investors.com
