Tesla shares up 2% premarket as they start trading on split-adjusted basis

Tesla Inc. shares TSLA, +0.22% were up 2.2% premarket Thursday, as they started trading on a split-adjusted basis, joining Alphabet Inc. GOOGL, -0.15%, Amazon.com Inc. amxn and other megacap companies dividing their stock this year. The EV maker’s board approved the 3-for-1 split on Aug. 5 and detailed the proposal to split on its proxy in June, saying it would provide more flexibility for its employees managing their equity and serve as a recruiting tool. The stock ended the trading day at $891.29 and was trading at about a third of that price early Thursday. Tesla’s stock split is its second in as many years; the company split its shares 5-for-1 in August 2020. Tesla began trading on its split-adjusted basis on Aug. 31, 2020, and the shares have gained about 104% since then.