This split would come in the form of a dividend, which would pay shareholders additional shares. Most dividends pay cash to investors.
The electric car maker did not give details about how many shares investors would receive. Its previous split in August of 2020 gave shareholders five shares for every share they already had.
Tesla shares had struggled for the early part of this year but it has been on a run since it announced it received German government approval to deliver the first cars built at its new factory outside of Berlin. Shares are up 32% since they closed at $766.37 just two weeks ago. They closed Friday at $1,010, which once again gives the company a market value of greater than $1 trillion.
In premarket trading, Tesla shares rose 5%.
A number of other high flying tech stocks have announced stock splits recently, including Amazon (AMZN) and Google owner Alphabet (GOOG). Both announced plans for 20-for-1 stocks splits since the start of February.
Source : cnn
