benzinga.com/news/22/08/28389757/as-tesla-prepares-to-split-shares-heres-how-much-a-1-000-invested-ahead-of-aug-2020-stock-split-be-w
Tesla, Inc. confirmed a 3:1 stock split through a press release late Friday, following approval by shareholders at the annual meeting held on Thursday. The split is implemented as a stock dividend, which will be paid on Aug. 24 to shareholders of record as of Aug. 17. The stock will begin trading on a split-adjusted basis on August 25.

The company implemented its first split in 2020. The previous split was in the ratio 5:1. Tesla’s shares were flatlining around the $70 level in late 2019 before breaking out of the range. In after-hours trading, it pulled back an incremental 0.29%.

Tesla stock has seen a six-fold increase since the announcement of the 2020 stock split. The rise is attributable primarily to institutions buying several derivative instruments of which the stock was part of. Strong retail buying offered support. The company continued to outperform fundamentally after the stock split announcement.

A $1,000 invested in Tesla at the time of the first split would have fetched 2.3 shares of the company, based on the split-adjusted price of $442.68. Tesla, which attained a valuation of $100 billion in January 2020, hit the $1 trillion market-cap mark in October 2021.

The shares would be worth $1,988 (based on Friday’s closing price), implying a return of about 100%. Tesla is planning to hit a production capacity of 20 million vehicles by 2030. The trajectory of the economy may have a role to play in determining the impact of the split.
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