Nvidia’s 10-for-1 stock split is in effect, giving investors nine additional shares for every one that they already own. Shares declined slightly to $119.77 shortly after the market open on Monday. Nvidia’s stock price has more than doubled this year after more than tripling in 2023 and it’s now the third most valuable company in the S&P 500. The meteoric ride allowed Nvidia to briefly surpass Apple last week as the second most valuable company in the U.S. Nvidia surpassed $3 trillion in market value.
Quick Read
- Nvidia Stock Split: Nvidia’s 10-for-1 stock split is now in effect, giving investors nine additional shares for every one they owned.
- Stock Price: Shares slightly declined to $119.77 shortly after the market opened on Monday.
- Stock Performance: Nvidia’s stock price has more than doubled this year after tripling in 2023, making it the third most valuable company in the S&P 500.
- Market Value: Nvidia briefly surpassed Apple last week as the second most valuable U.S. company, reaching a market value of over $3 trillion.
- AI Demand: The chipmaker’s revenue more than tripled in the latest quarter due to soaring demand for semiconductors used in AI applications.
- Revenue Growth: Nvidia reported $26 billion in revenue for the most recent fiscal quarter, a significant increase from $7.2 billion in the same period last year.
- Future Revenue Expectations: Wall Street expects Nvidia to bring in $117 billion in revenue for fiscal 2025, nearly double its revenue in 2024 and more than four times its revenue from the previous year.
- Net Margin: Nvidia’s estimated net margin is 53.4%, meaning about 53 cents of every dollar in revenue becomes profit, compared to Apple’s 26.3% and Microsoft’s 36.4%, both of which have higher revenue than Nvidia.
The Associated Press has the story:
Nvidia 10-for-1 stock split goes into effect after stock price for chipmaker doubled this year
Nvidia’s 10-for-1 stock split is in effect, giving investors nine additional shares for every one that they already own.
Shares declined slightly to $119.77 shortly after the market open on Monday.
Nvidia’s stock price has more than doubled this year after more than tripling in 2023 and it’s now the third most valuable company in the S&P 500. The meteoric ride allowed Nvidia to briefly surpass Apple last week as the second most valuable company in the U.S. Nvidia surpassed $3 trillion in market value.
The chipmaker has seen soaring demand for its semiconductors, which are used to power artificial intelligence applications. The company’s revenue more than tripled in the latest quarter from the same period a year earlier.
Nvidia, which has positioned itself as one of the most prominent players in AI, has been producing some eye-popping numbers. Here’s a look:
$3.011 Trillion
Nvidia’s total market value as of Wednesday. Earlier this year, it passed Amazon and Alphabet to become the third most valuable public company, behind Microsoft ($3.168 trillion) and Apple ($3.029 trillion). The company was valued at around $418 billion two years ago.
$147 billion
That’s the one-day increase in Nvidia’s market value on Wednesday.
10 for 1
The company’s 10-for-1 stock split went into effect at the close of trading on Friday. The move gives each investor nine additional shares for every share they already own.
Companies often conduct stock splits to make their shares more affordable for investors. Nvidia’s stock closed Wednesday at $1,224.40 and it’s just one of 11 companies in the S&P 500 with a share price over $1,000.
$26 billion
Revenue for Nvidia’s most recent fiscal quarter. That’s more than triple the $7.2 billion it reported in the same period a year ago. Wall Street expects Nvidia to bring in revenue of $117 billion in fiscal 2025, which would be close to double its revenue in 2024 and more than four times its receipts the year before that.
53.4%
Nvidia’s estimated net margin, or the percentage of revenue that gets turned in profit. Looked at another way, about 53 cents of every $1 in revenue Nvidia took in last year went to its bottom line. By comparison, Apple’s net margin was 26.3% in its most recent quarter and Microsoft’s was 36.4%. Both those companies have significantly higher revenue than Nvidia, however.
