if the share price drops from 8.00 to 7.99 that's a penny, regardless of 1/40 rs. And with only 37500 shares you will only lose 375 dollars. I'm being facetious. A 1/40 rs will be devastating to shareholders and we will never recover from it unless the sp goes to 500 in a few years. Most of us will not live long enough to see that sp happen.