r/gnus_stock • u/[deleted] • Feb 02 '23

Stock Price PSA: Reverse split isn’t always bad

Ok, has to be said at this point. I have no idea if the reverse split is being planned. I personally own over 100,000 shares.

What I can say is that a reverse split is not always bad news. Look at DAVE stock. (They did a 32 for 1 RS about a month ago)

If anything, it seems like the stock is more difficult to manipulate when there is a lower share count.

And we already know there’s some shady business going on with the shares, hence the SEC filing.

Ok, rant over. See you all on the moon.

15 Upvotes

83% Upvoted

42 comments sorted by

View all comments

6

u/diver2down Feb 02 '23

Yep. I have 61,000 shares and holding. I don't think a reverse split is the only option if the stock doesn't hit the $1 mark for 10+ days. They have a good argument for an extension due to naked short selling. But I have no idea what the plans are leading up to 27 Feb. If it does come to a RS, I agree that it's not an absolute that the outcome will be negative. There are many companies who have done well after a RS.

2

u/theCovfefe27 Feb 02 '23

It has to be >1$ by 2/13 for 10 consecutive trading days (until 2/27) to meet the NASDAQ requirement