Why did the alphabet share price 'lost' 95% of its value?

The Alphabet ( NASDAQ: GOOGL) share price just ‘lost’ 95% of its value today. The stock was trading above the $2,200 mark on Friday but is now trading just above $110. Here’s why, and whether I’ll be buying Alphabet stock for my portfolio. Heading Dow-wards? The sole reason for the drop in the Alphabet share price is its recent 20-to-1 stock split.

What are Alphabet Shares?

Alphabet stocks are shares of a publicly traded company that have different share classes, usually denoted as ".A shares" or ".B shares." Often, these shares differ in terms of voting and dividend rights. Alphabet stock may be designated to denote ownership in a particular subsidiary of a firm rather than the parent organization.

Is Alphabet Inc (GOOGL) a good stock to buy?

Let's talk about the popular Alphabet Inc. ( NASDAQ:GOOGL ). The company's shares saw a decent share price growth in the teens level on the NASDAQGS over the last few months. With many analysts covering the large-cap stock, we may expect any price-sensitive announcements have already been factored into the stock’s share price.

Why did alphabet stock split by 20?

Those who held the stock when the US market closed on Friday were awarded 19 additional stocks for every stock they held. The value of each stock has been divided by 20 as well. According to the board, the reason for this split is to encourage higher trading volume while making access to Alphabet stocks easier.