A reverse stock split is the opposite of a stock split, when thenumber of outstanding shares increasesand the value of each share declines accordingly. Some companies may change their name after a reverse stock split, and have a different ticker symbol for their new shares. This is known as ...
such as two, five, ten, or as much as 100. A reverse split also causes a proportional increase in the share price. For example, a 1:2 stock split would divide the number of shares in half but would double the share price.
stock split noun : the division of the outstanding shares of a corporation into a larger number of shares thereby reducing the value of each share but not the total value of each holding compare reverse stock split Note: The purpose of a stock split is to make the stock more attractive...
half. After the apple is split in half, you have two pieces of apple, but it’s still worth the same amount as one whole apple. You just have two smaller pieces of apple now. Areverse stock splitwill have the opposite effect. This concept might be easier to understand with an example...
1.The opposite or contrary:All along we thought Sue was older than Bill, but just the reverse was true. 2. a.The back or rear part:the reverse of the flyer. b.The side of a coin or medal that does not carry the principal design; the verso. ...
Reverse Stock Split means a reverse stock split of the outstanding shares of Common Stock that is effected by the Company’s filing of an amendment to its certificate of incorporation with the Secretary of State of the State of Delaware and the acceptance thereof. Series B-2 Preferred Stock me...
Reverse Stock Split Date means the first date following the Initial Exercise Date on which a reverse stock split of the Common Stock is approved and deemed effective. Skateboard means a board with small wheels that is usually ridden by a person. For purposes of these rules, a nonmotorized sco...
Noun1.stock split- an increase in the number of outstanding shares of a corporation without changing the shareholders' equity; "they announced a two-for-one split of the common stock" split up,split step-up,increase- the act of increasing something; "he gave me an increase in salary" ...
Harold Averkamp, CPA, MBA Definition A stock split, such as a 2-for-1, means that every stockholder will have twice as many shares as was held previously. Accordingly, the market price per share after the split should be one-half of the market price existing prior to the stock split. ...
2 : a piece split off or made thin by splitting 3 a : a division into or between divergent or antagonistic elements or forces a cultural split b : a faction formed in this way 4 a : the act or process of splitting something (such as the stock of a corporation) b : the...