The long-anticipated 20-for-1 Google stock split is now just weeks away. Starting July 15, investors will have the chance to get in on Alphabet (NASDAQ:GOOG, NASDAQ:GOOGL) at a fraction of the current price. Using today’s stock price of about $2,300, GOOG stock will be divided into 20 shares worth $115 dollars each. This also means that current shareholders can expect to see the number of shares they own multiplied by 20.
This move doesn’t necessarily enhance the value of GOOG stock. However, it does offer potential investors the opportunity to buy into shares at a much lower entry point. For a company like Alphabet with a share price more than $2,000, this kind of stock split makes a lot of sense.
Alphabet first announced the Google stock split during in its fourth-quarter and full-year earnings call in February. Investors received the news positively. After shareholders approved the split on June 1, many to-be GOOG stock buyers have been eagerly awaiting July 15.
So, what else do you need to know about this tech giant’s upcoming split?
Google Stock Split Will Strengthen GOOG Stock’s Appeal
Alphabet and its host of subsidiaries — including Google and YouTube — make up one of the fastest growing tech entities in the world. The company has seen its share price jump nearly 40-fold since it’s initial public offering (IPO) in 2004. As such, the company’s decision to split the stock for the benefit of smaller personal investors is a long time coming.
Alphabet is seemingly the latest major tech company to go through a stock split this year, joining the likes of Amazon (NASDAQ:AMZN) and Shopify (NYSE:SHOP), which split last month. Electric vehicle (EV) giant Tesla (NASDAQ:TSLA) is also due for a stock split soon.
Shares have performed relatively well today ahead of the Google stock split; GOOG stock closed up more than 1% as the S&P 500 trends slightly in the green. Tech stocks have also performed well following the July 4th holiday. The tech-centric Nasdaq Composite jumped more than 3% yesterday and closed today slightly in the green, too.
On the date of publication, Shrey Dua did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.