How do analysts think about Tesla's stock split plan?

It's really just adding excitement to its name.

We have the stock ranked buy, so we're optimistic on its performance in the coming 12 months. By the company splitting its shares and introducing its dividend, will now broaden its appeal to income oriented investors.”

—— Sam Stovall, chief investment strategist at CFRA

A lot of people consider this to be a classic example of market psychology at work. If you look historically over time, most companies do well and perform well -- and in some instances very well -- following the announcement of stock splits.

In a case like this, Elon Musk is absolutely brilliant at market psychology. He's one of the masters of market psychology.

—— Marc LoPresti, managing director of The Strategic Funds

Tesla's desire to pursue a stock split doesn't change the fact that its stock is still trading at a valuation completely disconnected from fundamentals.

A Tesla stock split would dramatically reduce the price of Tesla’s stock, which would make it even more attractive to unsuspecting retail investors. This could further fuel the bubble in Tesla’s stock that has been brewing over the past two years.

—— David Trainer, CEO of New Constructs