You want to compare KAVL to VERB again? Is that what your basing your opinion on because that is a terrible comparison. You want to compare reverse splits of OTC stocks that stay on the OTC with no revenues or products? Another stupid comparison.
I'm not sure what you are having a hard time wrapping your head around, but it's basic math.
If your average is .10 and they do a 1:5 R/S, instead of being up 1000% at $1, you'll be up 1000% at $5 with a .50 average.
If the company is worth $500M, then your 200k shares at .50, is the same as 1M shares at .10.