Nvidia Corp's (NASDAQ:NVDA) recent 10-for-1 stock split has prompted Goldman Sachs to caution investors about expecting a sustained rally.
Despite Nvidia's shares surging nearly 27% in May and another 10% this month, reaching a market cap of $3 trillion, Goldman Sachs emphasizes that stock splits generally offer limited long-term benefits.
Goldman Sachs reviewed 45 Russell 1000 stock splits since 2019, finding a typical 4% rise in shares the week after the announcement but no apparent impact around the effective date.
Also Read: Why Is AMD Stock Trading Lower On Monday?
David Kostin, head of U.S. equity strategy at Goldman, noted that liquidity showed little change post-split.
Additionally, stock splits have not significantly boosted retail trading activity.
However, Nvidia's previous split in 2021 and Amazon.Com Inc's (NASDAQ:AMZN) 2022 split were exceptions, showing increased retail trading.
Ben Laidler, global markets strategist at eToro, suggests the split could position Nvidia for inclusion in the Dow, potentially replacing Intel Corp (NASDAQ:INTC).
Dennis Dick, market structure analyst at Triple D Trading, anticipates some buyer exhaustion post-split, noting a typical "hangover effect" after such runs.
Nvidia's valuation has surged 153% year-to-date, driven by an AI frenzy backed by U.S. Big Techs, including Microsoft Corp (NASDAQ:MSFT), Meta Platforms Inc (NASDAQ:META), and Alphabet Inc (NASDAQ:GOOG) (NASDAQ:GOOGL).
Nvidia, Microsoft, Meta, Alphabet, and Amazon together account for about 60% of the S&P 500's 12% return this year, with Nvidia contributing a third of this gain.
Price Action: NVDA shares were trading lower by 0.85% at $120.75 at the last check on Tuesday.
Also Read: Arm Is A Top Secular Pick Along With Nvidia: Analyst
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo via Shutterstock
英偉達公司(納斯達克股票代碼:NVDA)最近進行了10換1的股票拆分,這促使高盛告誡投資者不要期待持續的漲勢。
儘管NVIDIA在5月份暴漲近27%,本月再次漲了10%,市值達到3萬億美元,但高盛強調,股票拆分通常只會提供有限的長期利益。
高盛回顧了自2019年以來的45個羅素1000股票拆分,發現在公告後的一週股價通常會上漲4%,但在生效日期周圍似乎沒有明顯的影響。
另請閱讀:爲什麼AMD股票週一交易較低?
高盛的美國股票策略主管戴維·科斯汀指出,拆股後流動性的變化不大。
此外,股票拆分並沒有顯著提高零售交易活動。
然而,英偉達此前的2021年拆股和亞馬遜公司(納斯達克股票代碼:AMZN)的2022年拆股是例外,顯示出了更多的零售交易。
eToro的全球市場策略師本·萊德勒表示,這次拆股有可能讓英偉達有機會被納入道瓊斯指數,有可能會取代英特爾公司(納斯達克股票代碼:INTC)。
市場架構分析師Dennis Dick預計,在這樣的高漲之後會出現一些買方疲勞,指出通常會有一種"宿醉效應"。
英偉達的估值今年已經上漲了153%,這是由美國Big Tech公司支持的人工智能熱潮所推動的,其中包括微軟公司(納斯達克股票代碼:MSFT)、meta platforms公司(納斯達克股票代碼:META)和Alphabet Inc.公司(納斯達克股票代碼:GOOG)(納斯達克股票代碼:GOOGL)。
英偉達、微軟、Meta、Alphabet和亞馬遜合計佔標普500指數今年收益的約60%,其中英偉達貢獻了其中三分之一。
股票走勢:截至週二最後一次查詢,NVDA股份下跌0.85%,報120.75美元。
另請閱讀:Arm與英偉達並列爲最佳的長期投資選擇之一的分析師
免責聲明:本內容部分使用人工智能工具生成,並經Benzinga編輯審核發佈。
圖片來自shutterstock。