A Look at AAPL GOOG, MSFT, TSLA & NVDA‘s Pre- & Post-Split Prices Range

Ryan_Z0528
06-04

On Monday’s trading I closed some of my call options on prominent tech stocks when they showed favorable intraday performance, and made a 52% account income.

Current Holdings:

My current options have a mix of expiration dates, some with losses, but I plan to adjust positions and close when the market is favorable.

Focus on NVIDIA's Upcoming Split before Friday:

  • This week, I'm closely watching $NVIDIA Corp(NVDA)$ 's performance pre-split on Friday. With its all time high path, some traders in the options community are buying calls strike at $1200 of $1300.

  • I did bought calls strike on $1300, Im thinking whether to continue to buy calls at $1300 or sell calls at $1300.

Before i make decisions, i did a historical review for son big techs that did split since 2020: below are my observations:

  • $Apple(AAPL)$ saw a 42% increase before its 1:4 split in August 2020 and reached a 93% peak within 3 years.

    Data source: Tiger TradeData source: Tiger Trade

    Data source: Tiger TradeData source: Tiger Trade

  • $Amazon.com(AMZN)$ had three splits since IPO, with its stock price increasing 8 times in twenty years post-split.

  • $Alphabet(GOOG)$ experienced a 28% drop pre-split in 2022 but rebounded since November and reached over 112% by November 2023.

    Data source: Tiger TradeData source: Tiger Trade

    Data source: Tiger TradeData source: Tiger Trade

  • $Microsoft(MSFT)$ had nearly 10 times of splits since 1986, each attracting retail investors with its price drop post-split.

    Data source: Tiger TradeData source: Tiger Trade

  • $Tesla Motors(TSLA)$ had two splits since 2020, the first one in 2020 we see stock increase before and post spilts. The second time of splits shows siganificant drop.

    First split of Tesla, Data source: Tiger TradeFirst split of Tesla, Data source: Tiger Trade

    Second split of Tesla, Data source: Tiger TradeSecond split of Tesla, Data source: Tiger Trade

Special notes: Usually stock prices rise before the split, but soon fall for a week (with good resistance price), then rise again.

Now come to $NVIDIA Corp(NVDA)$ Last Split:

  • In 2021, $NVIDIA Corp(NVDA)$ had a 2:3 split on July 20th, with a 32%+ increase before the split.

Conclusion:

  • Comparing to the upcoming June 10th split, NVIDIA has already seen a 21% increase since the announcement. If the trend is similar to the last split, the target price pre-split might exceed $1250.

  • As of post, NVIDIA is trading at $1150, the performance before June 10th will be crucial.

  • Buy call or sell call at $1300? What’s your targets for $NVIDIA Corp(NVDA)$ before split?

  • Let me know your strategies, thank you.

How to explain to your child not buying NVDA under $100?
If you don't buy Nvidia, how would you explain to your child not buying NVDA when it was under $100?
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

  • Ryan_Z0528
    06-04
    Ryan_Z0528

    ”Comparing to the upcoming June 10th split, $NVIDIA Corp(NVDA)$ has already seen a 21% increase since the announcement. If the strong trend is similar to the last split, the target price pre-split might exceed $1250.“

  • Ryan_Z0528
    06-04
    Ryan_Z0528

    Special notes: Usually stock prices rise before the split, but soon fall for a week (with good resistance price), then rise again.

  • bumpy
    06-04
    bumpy
    Nice analysis on the pre- and post-split prices of tech stocks
  • MIe
    06-04
    MIe
    Splits upside for magnificent 7
  • jigglyp
    06-04
    jigglyp
    Awesome gains on your call options
  • Louise888
    06-05
    Louise888
    Good analysis
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