Posted On: 07/13/2016 7:46:17 PM
Post# of 96881
Half full or half empty... Share Prices
The company's market capitalization -- the total value of all its shares -- stays the same before and after the reverse split. Say a company has 10 million outstanding shares and a stock price of 50 cents a share, for a market cap of $5 million. It then executes a 1-for-4 reverse split, reducing the number of shares to 2.5 million. The company's value remains the same, at $5 million, so now each share is worth $2. If you owned 100 shares at 50 cents apiece before, now you own 25 shares worth $2 apiece. The total value of your investment remains the same: $50. Nothing about the company has changed except the number of shares available, and that by itself has increased the stock price fourfold.
Share reduction has now taken place New investors will have to pay a higher price starting today.. does Ntek has what it takes to gain new money I think we can all say that it been coming and whatever it is Ntek feels extremely confident that new money will come ...
stay tune
The company's market capitalization -- the total value of all its shares -- stays the same before and after the reverse split. Say a company has 10 million outstanding shares and a stock price of 50 cents a share, for a market cap of $5 million. It then executes a 1-for-4 reverse split, reducing the number of shares to 2.5 million. The company's value remains the same, at $5 million, so now each share is worth $2. If you owned 100 shares at 50 cents apiece before, now you own 25 shares worth $2 apiece. The total value of your investment remains the same: $50. Nothing about the company has changed except the number of shares available, and that by itself has increased the stock price fourfold.
Share reduction has now taken place New investors will have to pay a higher price starting today.. does Ntek has what it takes to gain new money I think we can all say that it been coming and whatever it is Ntek feels extremely confident that new money will come ...
stay tune
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