SunWorks Inc (SUNWQ)

[DrQuool]

Here's an example:
Pre-Reverse Split - If you owned 2600 shares valued at $0.52 each, you would own $1,352.00 worth of company stock.

Now, the company wants to have the stock worth at least $4.00 per share so they can uplist to a major stock exchange, so they do a reverse stock split. In this case, 1/26. So now you own 1/26 the original number of shares. 2600 shares becomes 100 shares, valued at 26 times as much per share, or $13.52 per share if it was $0.52/share pre-R/S.

So, your total value remains the same: 100 shares x $13.52 = $1,352.00.