Tesla stock split - WHY, WHEN, WHAT, HOW? (Ep. 570)
ฝัง
- เผยแพร่เมื่อ 27 มี.ค. 2022
- Tesla this morning dropped an announcement that they are preparing for a TSLA stock split.
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#Tesla #TSLA #Stocks
I've been buying Tesla shares like crazy, no doubt I loved getting at these low prices under 900, but I am still super grateful and not selling a single share after the split either.
How long have you ?
Same here
Major price drop incoming
Wow, how? I'm a newbie need your suggestions.
Just made my first withdrawal last week and I wasn't happy with myself because I was skeptical which made me invest so low meanwhile I'm on my second trade with her and this time I invested in a big way.
This was everything I needed to know in a short, concise video. Thanks Dave ! 🙌
This is how videos should be. Short and to the point.
Great news Dave and your breakdown of a split was really good.Thanks.
Thanks for the short detailed discussion on stock splits
Thanks very much for your excellent research and videos, Dave.
The best explanation I have seen. Thanks David Lee!
Very well explained Dave! Thank you!
Thanks, Dave. Always helpful.
As always you provide good info. The info on the split is wonderful… fantastic
Thank you for providing good usability information…very good detail…
More shares make me feel more important.
xDDD
I tell random people how many shares I have. I always get the “who TF cares” look.
🤣🤣 me after 2020!
@@wheelofcheese100 I care!?! How many?…lol
Thanks Dave! Appreciate your consistent TSLA coverage and broad knowledge.
Thanks Dave for explaining in details and no extras.
One of the main reasons for stock spilt that nobody talks about is that it makes it far cheaper for anyone to sell covered call options.
You are 100% correct. It is cheaper for those who buy option (100).
Thanks Dave, every time I see you put out a video I click on it and watch till the end. I just love you, please don’t leave. You are one of a kind. George
Yeah, please stay! I love your videos. Your calmness is appreciated
Dave thanks for your hard work and continued insights.
Thank you Dave for that clarification of the stock split. I was confused with other presentations.
I like the idea of having thousands of shares as apposed to hundreds as the price rises over the next few years.
Perky........opposed??
Me too lol
How does that make a difference?
@@Matzes probably just phycological, thousands vs hundreds, I like thousands too. 😅
Was waiting for this post all day. Thanks for giving your thoughts on it.
Thank you for the news, Dave:)
Hey Dave,
Thanks for taking time to breakdown what today’s stock split announcement means & it’s potential impact on price of Tesla shares in the future!
Appreciate all that you do for the community
More exciting info. Thanks Dave!
Excellent breakdown Dave. Thanks!
Thanks Dave, clear concise and informative..as per usual.
I know im voting for it. Especially with the new giga factories opening, gotta reward those hard working employees.
Thanks Dave!
Thank you very much!
You are very correct Dave. Stock split is a crucial part in good profit making and having minimal risk. I have been profitable from all my stock trades with few proven strategies as include splitting, which has earned more figures than i have worked in 2yrs.
How does splitting make a difference in profiting on stocks?
I have not really got a good glimpse of using the split method but i am damn in need of a good working strategy for my stock trading.
You don't need to be a geek at all this to make mind blowing profits. Just as Dave has show using the tesla stocks, it's well applicable to other stocks. Where there are effective strategies to implement for better profitability.
Whats this strategy that you speak of.......
Ama appreciate if you enlighten me about it too, thanks
Taking a walk with you Dave though TSLA town is awfully fun🚀🚀🚀!🙂👍🙏
I am now enlighrened by ur knowledge Dave👍🏼
Informativ and short video. Keep up the god work Dave💥
Thanks Dave, always informative.
Was waiting on your Stock split vid, thanks!!
You rock Dave, been waiting for this video
good stuff Dave !
Great overview! Agree with it all!
1:47. No, it's actually a lot better to hold whole shares. You own whole shares as a separate asset from your brokerage, fractional shares are a liability your brokerage owes to you. This means you have less default protection with fractional shares.
Dave, you are the best
From a purely psychological standpoint, many people aren't willing to buy a stock that is more than a thousand dollars. It is difficult to explain this other than fearful retail investors that feel uncomfortable playing at the high stakes poker table, regardless of their skill level.
and not everyone can engage in fractional share trading, so they are out. Drop the price per share to low double figures and all the workers can engage easier in ESOP and the fractional share thing is lessened...
Money money money, Money!
Imagine then if you will a stock price of $500,000.00 because BRK.A is 39000 over that price. In Canada you can buy depository receipts at 35$ Canadian which is cool because they will split too.
AMZN and GOOGL are splitting 20-1 to make stock affordable.
@@johnarnold893 I'm not sure if owning a partial share of BRK.A gives access to the annual meeting, which is a really fun event. A share of BRK.B definitely gives entry.
Great video, thank you.
Thank god this is not a looooong drawn out video. Thanks for the thorough explanation.
thank you Dave. -
Thanks. Great video. I would love a stock split because maybe I'd be able to buy a share or two
Thanks for the shout out to overseas investors who dont have brokerages that can do fractional shares.
Great info. Short, concise, and most relevant.
very helpful! thank you!
I'm new to your channel. 1. You have a great voice. 2. You have great content.3. You use the KISS approach. 4. Liked, subscribed, shared.
Thanks Dave. I know it means nothing but I'm excited at the idea anyway.
Good stuff Dave.
Thank you, Dave! That is the case. It's a fantastic idea for TESLA holders and helps many other people who don't have much; TESLA's future needed more population for ELON Musk's future plan. America needed to clean it up and get freedom back!
very clear - thanks
Dave is my favorite TH-camr
thx david
Regardless of split I am TSLA long 🙌😎
10:1 🤞🏾 so the employees can really get in on the fun
Yes, and it makes the math easy for various things.
I surprised myself Dave last week previously commenting that I expected a split, … just not this soon. Awesome information debrief. Cheers.
Great video! thanks
Thank you for these shorter, 10 minute or less, videos.
I love the superhero like intro music. And the great content of course
As soon as I heard yesterday, I popped straight on here, thinking, what does Dave think about this 😂 Unfortunately our time zone difference meant I had to wait.
Anymore information on the TSLA split?
Please keep us posted and Thanks Dave!
Lower stock price reduces the expense of the employee stock program.
Stock splits helps retail investors like myself multiply my Tesla shares and build a bigger position in my portfolio
Great news 🙌
Dave, thanks for all this great info. How was the pattern in the last stock split. You mentioned the price could run up now, which it has, and then again after the split a lot of new buy-ins. But, one more question on this. After the new buy-ins on the split, did you see a drop-down after a few weeks or month after all the new buy-ins? Is there a drop-off period and is that what occurred last time?
It fascinates how investors pull through this in the investments space When stocks n coin at a time Inflate and deflate without notice, for me I would have had a heart attack
You need to have a brief of what you wanna invest carefully before going in.
You make it seem unreal to make up to that as a passive income annually, when its clearly possible. I have made over 3Hunnid & eighty thousand dollars. “Counting averagely” from January till now with no joke game plan. She’s a masterpiece and her name’s
Lillian Dora
Thank you for dropping her Tel💯💯💯💯💯💯💯💯💯💯💯💯💯💯Gram🖕
Indicators are very lagged so one cannot rely on them instead they should look into learning price action trading with her, it’s a good one 👌
@@selineakas8315 This lady right here ,I trade with her she's inventive and the Pot are no jokes ,I won't look awestricken that you made mention of her .
Thank you Dave, you are the great person to help share holder, I am longs on TESL, Tesla will go to the moon!!! Cheers,
Great video. Thanks 🙂
Yes to stock split
1:38 Exactly. A 20:1 split would be great. A split is always great for the little people like me (and others). Personally I would prefer a 20:1 split rather than a 5:1 or 10:1. There are 2 reasons:
1. Tesla is growing so fast, with a 10:1 split it could be in the $1000.- range again in about 3 years.
2. Being able to buy TSLA below $100.- would really help (the little people).
Let me explain: Let's say you have a budget of $500.-/month to spend on stock. Now let's look at the dilemma you are in this year (Jan - March 2022). After Q4 earnings and Berlin + Texas coming online soon (seen from a view in Jan) you have enough money to buy 1 share in March (maybe). But then TSLA drops below $1000.- (totally unexpected -> unbelievable bargain). So at what point do you buy that 1 share?
If TSLA is at $1000.- you have only 1 chance to buy that 1 share. If TSLA is at $50.- you have several buying opportunities. 10 shares in Jan, 10 shares in Feb and 10 shares in March.
Little people who are all in on Tesla will LOVE a TSLA stock price under $100.-, believe me!!!
fractional shares are a thing.. it doesn't change anything funamentally
lol not a chance it 10x in 3 years 😂
@@charlesyao8757 Not all stock brokers support the trading of fractional shares.
@@kristianstokka5325 It has grown 19.5x during the most recent 3-year period, so 10x in 3 years in not impossible. I'm not saying it is likely; just not impossible.
@@CiaranMcHale 3 years ago it was almost priced for bankruptcy, so severely underpriced. Earnings have also grown somewhere between 10 and 20x since then, so yeah replicating this in the next 3 years is absolutely impossible and if you think overwise you are not looking at the underlying numbers.
Dave even in the former country of Canada 🇨🇦 we cannot by fractional shares!
if they are doing it for the employees and retail investors, they would do a 20:1, 5:1 will be in the same situation within the year since fsd and cybertruck should be released end of the year :P
Words of wisdom!
Dave, thanks for another great informative (stock split) video. Although, it is a little bit sad like the end of the dinosaurs. This I believe will be the end of the "short shorts",
Hi Dave, I am also a Tesla investor and would like to hear your opinion/deep-dive about BYD as a company being compared to Tesla. Among China EVs, BYD seems to be the only one with good volume production, less gimmicks, and good variety of vehicles type for choice. This is rarely covered by anyone and I trust that your insight into this can benefit many people.
I would have thought that Tesla's employee stock purchase plan would support fractional share purchase. Company share purchase plans that I have participated in have supported fractional shares.
Please consider providing a video with your thoughts on Andrej's sabbatical. Or maybe you discussing it with James Douma and thoughts about getting along on FSD without him for awhile.
Will a contract for difference CFD be affected in the same way as a stock during a stock split.
This makes options more affordable! ❤️❤️❤️
i am confused.. are you intending to issues shares to stock holders as a dividend? (which would be a taxable event? ) or will they do a stock split?, which is not a taxable event? (it just changes the cost basis per share and retains the cost basis purchase date?)
I'll be voting YES! Wondering what the split will be???
It’ll make stick options cheaper also.
DAVE, as always, the best breakdown of tricky Tesla news. we couldn't do it without you. also does this mean you will have over a million shares yet?
You didn’t address the most important question. Taxes. I know stock splits are non taxable events. But the way this one is described as a stock dividend has me worried. In your example you say if 10:1 split we will be given 9 shares as a dividend. Do we have to pay taxes as a dividend on that amount? I’d hope not. Not confirmation is needed?? Thanks!
It is non-taxable. The 5:1 spilt from 2020 used the same "dividend" wording. Even if this one is slightly different it's still a "like for like" transaction which makes it non-taxable.
Thanks Dave, to clarify the possible stock split sequences and the implied benefits for the shareholders. I think though we are just at the beginning of the two stock splits of many to come in the future. As I see a further one end of next year when all Giga will be humming and spitting out perfect EV at a crazy pace. While I see another when the FSD will finally reach perfection and starts to sell to other manufacturers as probably the only one available. I see the the number 5 split when the BOTS will be introduced in Tesla assembly lines speeding even further the most efficient assembly lines in the world, and I will stop at 6 when a possible consolidation of Space X and other ancillary Elon businesses I hope will come under Tesla same roof. I hope you do a video touching this subjet, I am sure far more professionally than my enthusiastic try.
How long have you being investing ?
@@pavlinajulian3646 Statistically the weatherman is way more accurate than financial advisors.
YESSS
They already have 2 billion shares authorized so a two for one stock split is already possible. They’ve not said how many additional shares are going to request us to approve.
agree and i see the stock price dropping if they want to do more? i dont think the issue is to raise capital but share price dilution is not good.
@@baref1959 A stock split is not a stock dilution.
@@baref1959, nothing to do with dilution.
no, they have enough outstanding that they'd hit the limit before 2:1 was acheived. They'll need to change the limit commensurate with desired final split #...
Oh! Finally.
So basically they are revaluing the stock unit to make it more useable.
Thanks for your videos! When will you be able to interview Elon Musk? Would look forward to that.
Love Tesla split
I like the splitting but I did not like the language; "issue additional stock". I thought at first that Tesla was going to dilute their shares. They could have said that in a better way.+
agree and i see the stock price dropping if they want to do more? i dont think the issue is to raise capital but share price dilution is not good.
It's stock dividends so it's actually dilution.
@@baref1959 it's not dilution, it's division. You can cut your pizza into 40 slices instead of 8 and not lose pizza.
@@yourcrazybear no it is not
Normally you have two phases:
1. split announced
2. split effected
Here you are looking at the announcement of an announcement, which means that there was some urgency to release bullish news.
i think they should do 20 to 1 .. for one reason this will make them the same price as there competitors like rivian and lucid. there is alot of people investing in other start ups with the hopes to "catch that tesla success" if elon can match that share price he can probably price out his competitors at very least make it very hard for them to find investors.. can snuff them out at least what 10-15% without so much as spending a dime :):)
There are no competition
thank you! don't you think that after the split, the stock will get back to the 1000$ price in a few months as it is psychologically already the "right" price for the stock in the eyes of the investors?
Cool, I'll soon have 2 instead of 1. :-D Or 5. Or 10. Now THAT would be amazing!
Hey Dave, what do you think about Warren Buffet's view that you attract lower quality investors and thus they are breaking maximum price limits and haven't split in years... And they have class B stock that they split often?
Apple did the same , several stock splits close together , as of course the fantastic iPhone release
May have a Tesla model Pi phone revealed in the near future,if true lights out for Apple and the stock.
I feel like stock splits make no sense these days when you can just buy fractional shares. Increasing the amount of shares lowers the price but it also increases the amount of shares haha it doesn’t change anything fundamentally. The company production is going to stay the same which means the rate of return stays the same.
Like he said, international clients can’t buy fractional shares and Tesla’s an international company.
Are Tesla's employees allowed to buy fractional shares with their internal agreement?
I understand many people wanting the split but if prices go further up after the split it means less buying power to accumulate stocks for me
Employees can't buy fractional shares.
@@CL-gq3no thanks for answering, I'm torn between helping the employees and my purchase power after a split rally to the moon
@@nahuelkondratzky7664 more employees will buy more shares. Look at the last split shares were up massive leading up to it. Post split it retracted quite a bit.
@@paulharsh78, it did retract quite a bit in the short term (a couple months), but it certainly didn't retract in the long term. Having said that, both the retraction and the rise had little to do with the stock split and lots to do with more important factors. The retraction coincided with tech selling off hard and the price rise was from Tesla's business fundamentals becoming hard to ignore even for Tesla shorts.
Isn’t the annual meeting scheduled for I think around October. Leaves us about Christmas for the split. Where do you get annual meeting in about June from ?