This morning Kate announced a range of between 1 for 15 and 1 for 25 reverse stock split. Any thoughts? Reverse splits never work.
If Microsoft was close to buying this company, they wouldnt need to RS. I think all hope is lost. Bankruptcy may be held off for a couple of years, but its probably the inevitable end for this company.
4 replies (most recent on top)
A reverse stock split is a kiss of death.
Who is surprised an RS is coming? The number of outstanding shares simply does not match Lumen revenues. KJ also needs to try and prevent the ticker from being delisted. And RS is exactly what you do when the business is struggling and it's hurting investors of stock. It's standard playbook stuff.
Microsoft ain't buying the Titanic as it's sinking.
RS is a very bad sign ... it makes the stock look more grounded, but it's more of an insurance policy against penny stock territory.