Twitter catching some wind on $ATNF reverse split happening today, from 40.5M shares to around 2M. They are doing this to comply with the minimum $1.00 bid requirement on the Nasdaq.
Fundamentally, reverse stock splits are bearish because it means share price has fallen so much that they need to resort to a reverse split to artifically bring the price back up for compliance issues. However, market can be retarded and like the “low float”-ness.
According to fintel, 2M pre-reverse split shares are insider shares, which means that insiders will own around 100,000 shares post-split.
$ATNF is a clinical stage bio stock.
Just posting this on forum to catch some discussion, not necessarily playing it.
