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Message: Re: One question

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Aug 20, 2013 11:20AM

Lebnjb, you are right . The stock would have to go up 5 times to break even. However, you're missing one aspect. $20,000 purchase @ $1per share = 20,000 shares. Market value at time of 1-5 reverse split is $.20 per sh Therefore, 20,000 shs @ $.20 = $4,000. After the split yu have 4,000shs @ $1 =$4,000 mkt. val. The stock does have to go up 5 times from this level. At the tie of the split the stock was oonly worth $.20 per sh ($4,000), so at that time the stock still had to go up 5 times to $1 for break even. Bottom line, the split had no effect on your ability to break even. Alton, move over.


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