Amazon stock split

Shares have tumbled since company announced 20-for-1 split

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Amazon (AMZN 3.20%) announced that it would conduct a 20-for-1 stock split, and in May, shareholders voted to approve it.

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For every Amazon share that previously existed, 20 have taken its place.

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One share of Amazon traded at $2,447 last Friday prior to the split, so dividing that number by 20 means the new share price is $122.35.

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Shares of the e-commerce giant rose 2% in New York after the split, but shares are still down about 10% since reporting the plan in March.

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stocks will be trading at a discount to the sticker price originally envisioned by executives.

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“Stock splits are usually a sign of optimism,” said Mark Lehmann, chief executive officer of JMP Group.

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