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Nvidia Stock Split? Experts See The Soaring Stock Prompting Another Split, Making It More Accessible
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Nvidia Stock Split? Experts See The Soaring Stock Prompting Another Split, Making It More Accessible
Mar 8, 2024 8:56 AM

Nvidia Corp’s remarkable surge has escalated its market value by over $1 trillion this year, propelling the AI leader to consider another stock split. 

Following a four-for-one split in May 2021, when shares were around $600, Nvidia’s price is now approaching $1,000, building on last year’s 240% gain. 

Experts believe a split could make shares more accessible, especially to small retail investors deterred by the high share price, Bloomberg reports. 

Ken Mahoney of Mahoney Asset Management anticipates a potential split within the next year to attract these investors. 

Without indicating immediate plans for a split, Nvidia ( NVDA ) has seen its shares skyrocket past previous levels after a significant drop in 2022. 

While fundamentally cosmetic, stock splits tend to attract retail investors by offering shares at a psychologically more appealing price point, even though the company’s overall valuation remains unchanged. 

Despite no confirmation from Nvidia ( NVDA ) on an impending split, its ongoing rally and popularity among retail traders highlight its robust market presence. 

Analysts hail Nvidia ( NVDA ) as the most significant AI beneficiary courtesy of Nvidia’s AI ramp through 2024 and 2025 with GH200, B100, and B200, with 2024 at ~$89 billion in Data Center revenues with potentially more upside and potentially reaching ~$280 billion in AI Data Center revenue by 2027.

The stock maintains the broadest ownership among fund managers, as per analysts.

Analysts can gain exposure to the stock via Global X Robotics & Artificial Intelligence ETF and Tidal ETF Trust II The Meet Kevin Pricing Power ETF .

Price Actions: NVDA shares traded lower by 1.43% at $910.68 on the last check Friday.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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