Reverse Stock Split
A corporate action that divides the share count and multiplies the share price by the same factor -- the opposite of a forward split. A 1-for-10 reverse split converts ten $1 shares into one $10 share. Reverse splits are most often done to meet exchange minimum-price listing requirements (NYSE and Nasdaq typically delist stocks that trade below $1 for too long). A reverse split itself is mechanical, but the underlying business reason -- staying listed -- is sometimes a warning sign about the company's trajectory.
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