GameStop jumps as the meme-stock favorite announces a 4-for-1 stock split
- GameStop shares jumped 6% Thursday after the company announced a four-for-one stock split.
- Shareholders will receive a dividend of three additional shares per each share held.
GameStop stock jumped as much as 6% in Thursday morning trades after the meme-stock favorite announced a four-for-one stock split after the closing bell on Wednesday.
Shareholders will receive a dividend of three additional shares per each share held, according to a statement, which will be delivered on July 21 at the close of trading.
The gaming company follows the likes of Apple and Tesla, which both initiated stock splits in 2020, as well as Amazon which made the move earlier this year.
In March, the company indicated plans to split its stock, suggesting the move would afford "flexibility for future corporate needs." At that time, shares jumped more than 20% on the news.
GameStop saw shares skyrocket at various points during the pandemic on the back of retail enthusiasm and meme-stock momentum trading, alongside names like AMC and BlackBerry.
Year-to-date, the meme stock is down about 23% and closed at $117 Wednesday. The stock hit intraday highs in early 2021 of over $400 a share.