NVIDIA Stock Split Date: History and 2024 Timeline
The NVIDIA stock split date is a critical milestone for investors tracking the growth of the world’s leading AI chipmaker. When NVIDIA (NVDA) executes a stock split, it increases the number of outstanding shares while proportionally lowering the price per share, making the stock more accessible to retail investors without changing the company's overall market capitalization.
1. Overview of NVIDIA Stock Splits
NVIDIA has a long-standing history of using stock splits to manage its share price during periods of exponential growth. As of June 2024, according to official company filings, NVIDIA has performed six stock splits since its Initial Public Offering (IPO) in 1999. These actions reflect the company's transition from a gaming-focused GPU manufacturer to a global leader in artificial intelligence and data center infrastructure.
2. The 2024 10-for-1 Stock Split
The most significant NVIDIA stock split date in recent history occurred in June 2024. Following a massive surge in share price fueled by the AI boom, NVIDIA announced a 10-for-1 split to ensure employees and investors could more easily acquire shares.
2.1 Key Dates for Investors
According to NVIDIA’s official announcement on May 22, 2024, the split followed a specific timeline:
- Announcement Date: May 22, 2024 (Concurrent with Q1 fiscal 2025 earnings).
- Record Date: June 6, 2024 (Shareholders of record at the close of business were eligible).
- Effective Date: June 7, 2024 (Shares were distributed after market close).
- Post-Split Trading Date: June 10, 2024 (Trading commenced on a split-adjusted basis).
2.2 Rationale and Market Impact
By lowering the per-share price from over $1,000 to approximately $100, NVIDIA improved liquidity. This move was widely seen by analysts as a step toward making NVIDIA a candidate for price-weighted indices like the Dow Jones Industrial Average, which it eventually joined in late 2024.
3. Historical Stock Split Timeline
Understanding the NVIDIA stock split date history helps investors visualize the company's long-term value appreciation. Below is the chronological list of all splits:
| June 27, 2000 | 2-for-1 |
| September 12, 2001 | 2-for-1 |
| 2-for-1 | |
| September 11, 2007 | 3-for-2 |
| July 20, 2021 | 4-for-1 |
| June 10, 2024 | 10-for-1 |
4. Understanding Split Mechanics
4.1 Record Date vs. Effective Date
The "Record Date" is the deadline for being a registered shareholder to receive the new shares. However, the "Effective Date" (or Ex-Date) is when the stock market actually adjusts the price. If you sell your shares between the record date and the effective date, the right to the new shares typically transfers to the buyer.
4.2 Impact on Cost Basis and Dividends
A stock split does not create a tax event. Instead, your "cost basis" per share is divided by the split ratio. For example, in the 2024 10-for-1 split, if you bought 1 share at $1,000, your new basis would be 10 shares at $100 each. Additionally, NVIDIA adjusted its quarterly cash dividend by 150% post-split to $0.01 per share on a post-split basis.
5. Cumulative Effect of Splits
The power of these splits is staggering for long-term holders. A single share of NVDA purchased at the IPO in 1999 would have multiplied into 480 shares following the June 2024 NVIDIA stock split date. This cumulative multiple (2 x 2 x 2 x 1.5 x 4 x 10) illustrates how corporate actions reward patient investors during high-growth cycles.
6. Market Significance and Peer Comparison
NVIDIA’s strategy aligns with other "Magnificent Seven" tech giants. Companies like Apple and Amazon have frequently used splits to maintain a "retail-friendly" price point. In contrast to companies that allow their share prices to reach thousands of dollars, NVIDIA's frequent splits suggest a commitment to high trading volume and broad ownership.
7. Frequently Asked Questions (FAQ)
Does a stock split change my investment value?
No. The total value of your holdings remains the same at the moment of the split; only the number of shares and the price per share change.
What happens to fractional shares?
Most modern brokerages automatically adjust fractional shares. If a brokerage does not support fractional splits, they usually provide "cash in lieu" of the fractional portion.
Will there be another NVIDIA stock split date soon?
NVIDIA typically considers a split when the share price consistently stays in the high triple or quadruple digits. As of late 2024, no further splits have been announced.
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