Amazon.com Inc. is a three-digit stock again.
The e-commerce giant’s 20-for-1 stock split, announced in March, went into effect Monday. The split will in part make the tech company’s share price more accessible for people wanting to buy the stock, the company has said.
Shares rose 2.2% to $125.06 on Monday.
The company’s board approved the 20-for-1 split in March and shareholders approved the move last month.
Amazon last split its stock in 1999 during the dot-com boom.
Stock splits don’t alter the value of a company or impact the worth of shareholders’ investments. In Amazon’s case, those who owned the stock as of May 27 will get 19 additional shares for every share they own.
Investors often interpret stock splits as signals of confidence by management. Tesla Inc. and Alphabet Inc. have also announced stock splits this year.
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