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Re: IslandLover post# 8695

Friday, 05/04/2018 8:52:33 AM

Friday, May 04, 2018 8:52:33 AM

Post# of 11968
Reverse Splits/Share Consolidations are often seen as negative if the company uses it and goes about their daily business. The question should be asked is why are they doing the Reverse split and what caused them to do it?

How the market reacts often depends on what else the company is doing to reverse its fortunes. If it simply declares the reverse split and goes on with business as usual, investors may see the split as nothing more than a smoke screen, and the price may go right back to falling as they sell their shares. But if the split is accompanied by serious changes in management, structure or strategy, investors may give the company more time to right the ship.