Fundamentals of Building Construction
So lets say I have 18 shares of a company and the reverse split is 20:1 what happens to my shares? Would I essentially lose the money? Or will they round up my shares to just 1 share after the split?
Terrific Video – nice job
Great video 👍🏼
Reverse split is written as (1:2 or 1:5). you wrote it down as if it was forward split.
I know the definition, but I wonder how the reverse split (R/S) effects the historical CHART. So, if previous to a 1:5 R/S the chart shows a high of, say, $20. So now, after the R/S does that historical $20 now show on the chart as $100 ??? That is what I would like to know.
Great video. Cleared my confusing. Thanks
Great vid man, what if a company sells out to another
Thanks for the lesson bro. I got too happy when XGTI did a reverse split today and almost crap my pants thinking I was profitting.
how about when your shares don't get even out properly.. do you just lose that money? Ex:i had 601 shares of BAS that was worth $240. but then reverse split happen so now i have 1 share BAS that is worth $35..so did i just lose $210????
Great video very helpful, keep up the work. Thanks
SSH just did a 30 -1 reverse split.
So your saying if the company stock does not go up and continues to drop I'm eventually screwed? Has there been any time where the investor benefited from a reverse split? – Thank you for the video.
Im confused! 😖
if the price per share is .067 on RNVA. Is a reverse split of 30 to 1 good or bad?
Thank you for explaining that! Awesome video!!
So you think the main purpose of it is to give the impression that a company is doing better than it is? Possibly hoping for new buyers to not do their own due diligence? I know one advantage of a R/S is that fund managers with low limits on what they can buy, would be able to purchase them as well once the price goes up…your thoughts? What are other reasons a company would want a R/S? Based on your experience, are the usually not a good thing?
cant you sell after the reverse split and then make the profit, lets say i have 1000 shares that cost me 1000 buks and the company did a 1/10/ the price would then be worth 10 dollars and i would have 100 shares. Wouldnt this mean a profit of 10x?
7:00–7:10 made my day!
Very good video and explanation. However, this morning I discovered there is nothing wrong with trading reverse splits for (maybe) the first 20-30 minutes. Yesterday I read Strata Skin Biotech SSKN was doing a 1:5 reverse split. This morning… I saw the stock gap up. On a whim bought 500 shares @ $3.79 and sold 15 minutes later for $5.22 for a nice little $700 profit and regretted that I didnt have the guts to buy 5000 shares.
Thanks Clay, I have a Penny Stock that went from 12,500 Shares down to 12 Shares, after Splitting Twice, Guess I'll just hold on to it. Thanks for the explanation.
I bought 200 shares of Dryship stock at $1.74That is roughly $350 of value.They do a reverse split of 4:1 a couple of weeks later because the stock dips to like .60 cents or somethingMy shares went down to to 50 and my value was $88.
How did this happen? I thought the value was supposed to maintain its self. Even though I have 50 shares, it should still be worth $350, right?In order for me to break even the share price will have to be nearly $7.00 a share.
If you were holding at a loss leading into a r/s, would you sell prior or hold and hope with solid news due in the year to come. Obviously with a huge loss of profit potential due to less shares. simple arithmetic
thank you clay. nicely explained. very helpful.
Wanted to find out, just in case if some one does not have 5 shares which can be converted to 1, then what shall happen? like in your example someone had 100 shares which are converted to 20 (5:1 ratio), however if someone has lets say odd # of shares like 72, what shall happen in that case? how will it affect the portfolio of that person, what are the options available to him/her?
i lost money from reverse stock i brought 300 shares at. 0.28 went up 3.28 in i only had 20 shares 3.28×20=65
wow that "dumbass commenter voice" halarious.
Whelp now I am nervous… ANY is doing a reverse split of 25:1 and I have 36000 shares… ugh
do share holders ever get extinguished? how long does the RS take to show on your account?
In a short position this is a good strategy, but in the case of ANY the situation it was different, because the two next days was an oportunity to get long and take good profits.
What are the rules for voting on a RS? I know each share owned equals 1 vote. But my question is does a RS require a simple majority to pass it? Meaning 50% plus 1?
The company has a five-for-three stock split?
wow seriously you make these great videos!!!!
Where my UGAZ people at
Thank you for clearing those COB webs for me, it's funny because that's exactly what happens and the amounts
bought at .011 now .0016. should i buy more before the rev split?
What happened to the dividend
Thank you clay for explaining that. It happened to me twice with two separate penny stocks and every time I lost shares and they increase the value of the shares that was left however not long after that happened they diluted the market again with massive amounts of shares and the value of the stock Drop Like a Rock and you're stuck. Needless to say I've learned a hard lesson
Thanks for making this video
Great video thank you for helping me better understand what an R/S is. I'm a little worried now however because I just got in on RNVA and they're voting on potentially doing in RS this week they are currently at .023 a share. I got in at .01138 a share.
But i lost like 1200 dollars when reverse split happened
This just happened to me with stock symbol (CYTX) Cytori Therapeutic’s I had 10,000 shares and they reverse split the stock at a ratio of one for ten on May 23rd 2018! I’m selling this shit!
What if the nuumber of shares that you have doesnt divide by reverse split ratio? Do they round up? I.e. 99 with 5:1 = 20 ? Or would you gain 4 old shares/ 0.8 new shares price compensation?
I was holding a stock before the reverse split they kicked me out the stock. Can they do that?
Very neat and nice explanation! Thanks
Hi Clay, your 101 videos are really insightful, thank you!
My question is this: Why would a company do a reverse split? How do they benefit from having less shares? Why is this an indication that the company isn't doing so well?
Is this how share consolidation works?
Good Video. Went thru 5 videos and I only understood yours. You made it simple and clear. Thanks. Moviepass stock lol doing a reverse split tomorow.
HMNY just did one. I freaked out. I watched this video. I'm okay now but still at a loss. Thanks man.
I had a limit order of 2176 shares, and all of them were canceled by the HMNY. My question is, will they refund me these shares?
Thank you in advance, cause I am so lost!
MoviePass brought me here. 😕
share price wil be current market price of share or the price at which it is bought by the investor
Wasn’t the last example supposed to be 750? So 750 • 20 and give you the same price which is 15,000
Is this what is happeningg with BRK.A right now?
If the proportions remain same, WHAT IS THE USE OF THE REVERSE SPLIT? IT JUST REDUCES THE AMOUNT OF SHARES I HOLD? WHY WILL A COMPANY DO A REVERSE SPLIT THEN?
Good stuff man well explained
I am A new Trader I have been watching videos for about 3 and I understand the way you explain it better than the other guys
Reverse splits messed me up pretty bad when I was first trading. I was trading with AYTU and they did a 1:20 ratio split.
How do reverse and forward splits effect growth stock particularly in regards to dividends?
RS split are typically negative catalyst. If a company's strategy is contemplating on doing this get out and reposition later more likely as a short trade.
Thank you, i was freaking out, i am in a stock that just had a reverse split before close.
INPX just did a reverse split. 40:1. My shares have disappeared from my list of stocks. Can a company pay you the remainder of your shares ?
DGAZ is doing a reverse stock split of 1 to 20 on November 28th. I have 6 shares. What’s going to happen to my 6 shares? Will they just disappear?
6:59 I was going to say that
Thank you Clay , i am holding UGAZ and i believe a reverse split will be done on Monday.
Lost 4.2K today on the DGAZ reverse split
Why doesn't Amazon do a forward split now since their shares are going for ~$1k? Also what are the advantages of doing a forward split?
Best explanation ever! Do companies have to wait a certain amount of time before they do another reverse split?
Nice video. I'm a low level employee of a major company; they may have to consider a reverse stock split. I didn't know what that was. I was just curious; thanks for helping me understand the basics.
Hey Clay, I think RAD, Riteaid is going to do a reverse stock split… Whats your thoughts about that company?
So one of my investments AMMA did a reverse split for a ratio of 19:1. I had less than 19 shares. What does that mean for me?
Hi @ClayTrader, nice video. Wondering if you can do a visual video on how Warrants effect a stock?
say you are in the red, is your average stock price ie when you break even also multiplied by (5)?
I am holding VTL. They are doing a 4:1 RS before a reverse merger with IMUX. This might be different circumstances.
Hey. I’m kind of panicking because the message boards are talking about a possible R/S on my single biggest held stock. I bought it and sold it many times to make good money from it over time. But now, the share price is only 50 cents compared to the price I bought it for, 92 cents. It’s a great company just upgraded by lots of important rating agencies to a “buy”. Symbol is $LIFE.
Great video, thank you
hay clay what happens if i have 56 shares and the company VTL in my case ddose a 40:1 revers split merger
So there’s not a way to make hella money off of a reverse split?
NVAx is doing a reverse split;(
Your videos are truly the best .
Does it also apply to option call
Very helpful thx
Thank you for explaining!
DNAD is being reverse stock split. Any advice?
Thank you this was VERY helpful. thanks again
Who's here because of JAGX? LOL… .12 cents to 8 dollars overnight.. LMAO!!
Jagx 70-1reverse spilt .i now own a fraction of a share on robbin hood that i can use at all
Blue apron skyrocketed after reverse stock split.
So, make some call options when i know a reversed split is gonna happen.
Here Because of DX going from 5.58ps to 16.89ps
I went with one in PIR yesterday and today Yuma announced they were doing one
what if you got 54 shares and the company do a 1:5 reverse split, you will get 10,8 (exact division) shares or 10 shares(truncate) or 11 shares(round)? thank you for the video
Great video. I just had CEI do a Reverse-Split at 25-1 and I’m new to all of this so I was searching for answers after seeing my shares drop dramatically. Thanks for the info.
Thanks Clay, Im diving into the world of stocks, and I value these types of videos. New Subscriber alert !
Is the company's bod supposed to inform you about a possible r/s? Or do they do this things without any sort of heads up?GREAT VID BTW!
But but but .What happened with me just recently. I bought stock . Penny stock. They had shares out standing 1.5b After they decided to do (1-201)Price now 10$.and prices goin down in two days already 6 $ .I lost 20.000. How ?I bought stock 100.000 I paid 25.000$ price was 0.25 ok good but know is not good because i had that stock one year and price was slowly going down and stopped at 0.050 cent. And they do fucking split. Now I have 497 stocks. Because 100.000:201 =497 . And market value is 497 × 6= 2982$ and Where is my 22.000So know I have to wait until stock rich 50 $ so I can get money back but that my not happened. So reverse stock splits scam 100% . Tell true to people.
Any way of cost averaging if the stock price keep going down?
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