Tesla Inc (NASDAQ: TSLA) shares traded higher Tuesday afternoon. The company's Board of Directors approved a 5-for-1 split of Tesla's common stock in the form of a stock dividend to make stock ownership more accessible to employees and investors.

Each stockholder of record on Aug. 21 will receive a dividend of four additional shares of common stock for each then-held share, to be distributed after close of trading on Aug. 28. Trading will begin on a stock split-adjusted basis on Aug. 31.

Tesla's stock closed Tuesday's session down 3.1% at $1,374.39 per share. The stock ticked up more than 5.7% to $1,454 a share in after-hours trading.

See more from Benzinga

• Elon Musk Passes Warren Buffett, Still Behind Bezos As World's Richest Person

© 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.