InvestorsHub Logo
Followers 241
Posts 6903
Boards Moderated 0
Alias Born 01/21/2017

Re: kface post# 126675

Sunday, 11/24/2019 10:27:39 PM

Sunday, November 24, 2019 10:27:39 PM

Post# of 186029
Regardless of what anyone says, an RS is never a good thing. VRUS already has approved one at up to 400 for 1. Your half mil shares would become 1250 shares at that rate, but worth 400 X each. So, the value (market cap) itself doesn't change immediately. but everyone in a brokerage, like us, will be prevented from trading as the RS is executed. But those with share NOT in a brokerage are able to sell. They do that. They collect at the moment of the RS by selling, and that selling drops the price. it ALWAYS happens. I have watched many of them, and I've seen people hold through them, and found their shares worth the pre split price in only 3 months - the rest all a huge loss.
All I can tell anyone, and talking from experience, if an RS is announced, immediately sell all your shares. Keep the money safe for after the RS. Watch what happens to the price for 2-3 months. Then, if it looks like a good idea, buy your shares back. You will not lose a damn thing by selling, then buying back later, if that makes sense. But holding through an RS is a virtual guarantee that you will lose value in the process. It is YOUR decision, but trust me, I will never hold even a single share through an RS again. It's too easy to buy back on the other side, and if the standard price drop happens, you will make a profit.