The largest mega-cap EV firm, Tesla, executed a 3-for-1 stock split on August 24.
As a result, the company's one share will become three.
Well, this is not the first time it has happened.
This is the company's second stock split; its first stock split occurred in August 2020.
Assume you have a $100 note that is replaced by two $50 doller note, this is best stock split.
How do stock splits work?
A pricey share is reduced in price by being divided into smaller pieces
making it more accessible to investors and increasing the market's liquidity.
A stock split won't increase your wealth. Then, does anything alter? No
Stock split impact on investor
You still have 100 doller, but they are in smaller amounts.
It is best not to let a stock split influence your decision to buy or sell a stock.