TECH - Nvidia Stock Split Might Not Lead To Sustained Rally But It Could Replace Intel In Dow Index | Benzinga
Nvidia Corp’s (NASDAQ:NVDA) recent 10-for-1 stock split has prompted Goldman Sachs to caution investors about expecting a sustained rally.
Despite Nvidia’s shares surging nearly 27% in May and another 10% this month, reaching a market cap of $3 trillion, Goldman Sachs emphasizes that stock splits generally offer limited long-term benefits.
Goldman Sachs reviewed 45 Russell 1000 stock splits since 2019, finding a typical 4% rise in shares the week after the announcement but no apparent impact around the effective date.
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David Kostin, head of U.S. equity strategy at Goldman, noted that liquidity showed little change post-split.
Additionally, stock splits have ...