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What's going on with Amazon's stock split?
March 9 (Reuters) - Amazon.com Inc said on Wednesday its board approved a 20-for-1 split of the e-commerce giant's common stock and authorized a $10 billion buyback plan, sending the company's shares up 7% in extended trading. This is the first stock split by Amazon since 1999 and will give investors 19 additional shares for every share they hold.Does Amazon have a new share price?
Amazon has a new share price, but investors' approach should stay the same. Back in March, e-commerce giant Amazon ( AMZN -0.57%) announced that it would conduct a 20-for-1 stock split, and in May, shareholders voted to approve it. The split has now officially taken effect, but what has actually changed?How does a stock split affect the value of a company?
That can help inflate the value of a company’s shares by effectively pulling the supply of stock out of the market. Shares of Amazon (AMZN) rose 8% in extended trading. Major company stock splits have become very in vogue in recent years. Apple and Tesla announced splits in 2020.How did Amazon stock revalue?
Amazon shares were revalued to $120 per share, after trading well above $2000 per share prior to the stock split. Shares closed 2% higher at $124.80 in Monday trading, after hitting an intraday high of $128.70 early in the session.