Today after the close of regular trading Tesla, a well-known American electric vehicle company, announced that it intends to split its shares 5 for 1. The split announcement comes after a sharp rally in the value of Tesla equity in recent quarters.
The company’s shares quickly rallied on the news, picking up 8% in after-hours trading.
Tesla, ever a controversial company, traded for as little as $211 in the last year. After today’s news the company is now worth $1,485 per share. Worth comfortably more than $250 billion, Tesla is amongst the world’s most valuable companies, let alone among the most valuable automakers.
Using our arithmetic, Tesla shares would be worth around $297 after the split.
This is a developing story. Please check back for updates.