Nvidia (NASDAQ:NVDA) shares began trading Monday on a new 10-for-1 split basis, reducing the stock price from its Friday closing value of $1,208.88 to $120.88.

As a result of this split, shareholders who held Nvidia common stock as of the close of market on Thursday received 10 shares for each one share they owned.

For example, a shareholder with four shares of Nvidia as of Thursday now holds 40 shares post-split.

Stock splits like this one are designed to make owning shares more affordable by lowering the price of individual shares without diluting the total value of existing shareholders' holdings. 

Nvidia's decision to split its stock follows the company's brief surge in market valuation, which surpassed $3 trillion on Wednesday.

This milestone pushed Nvidia past Apple, making it the second-most-valuable publicly traded company in the United States.

Shares of Nvidia have experienced significant growth, fueled by the burgeoning interest in generative AI since OpenAI launched its ChatGPT software in late 2022. 

The stock split is expected to enhance accessibility and attract more retail investors, further solidifying Nvidia's position in the rapidly expanding AI market.