Tesla Inc’s shares will begin trading on a split-adjusted basis on Aug. 25. Expectations are that the stock will trade up in the run-up to the split.
Incidentally, two other big techs—Amazon.com Inc and Alphabet Inc recently split their shares. Does the post-split trading in these stocks have any read across for Tesla?
It could be a “yes” and “no.” Tesla is not strictly a tech company, and its tryst with technology is primarily through the self-driving tech it is promoting for its electric vehicles and its usage of AI for the same.
However, Tesla is a fellow large-cap, just like Amazon and Alphabet. Another factor working in favor of all the three stocks is the sense of optimism that has returned to the market following the recent Main Street data point showing a let-up in inflationary pressure….