After a reverse split of, say 1 for 100, any capital appreciation in the event that the stock would go up, as you suggested, would be reduced 100 fold. Not a good thing. However, if the SP goes down after a reverse split, your losses would be reduced accordingly.
Penny atocks have their own enharent risks but speaking in general, if a stock were to split 2 for 1, which would you rather have, 1 share or 100? In my opinion, over time, capital growth is paramount to the number of shares you own, and that is before considering possible future dividends.
JMO- stay long and strong until we see if George can raise the start up capital required for Coates to run the course.. There is much potential for the CSRV concept.