Ascent Solar Technologies (NASDAQ:ASTI) stock is rising higher on Tuesday due to the company enacting a reverse stock split.
This reverse stock split has Ascent Solar Technologies consolidating down 200 shares of ASTI stock into a single share. That takes its outstanding number of shares from roughly 92 million pre-split to around 500,000 post-split.
The Ascent Solar Technologies reverse stock split is set to go into effect when trading opens this morning. The company will keep its ASTI stock ticker but will use a new CUSIP number, which is 043635705.
Why the AST Reverse Stock Split?
Ascent Solar Technologies notes that it is undergoing the reverse stock split as a way to boost the price of its shares. Doing so increases its stock above the $1 minimum required to remain on the Nasdaq Exchange. This should help keep the company from being delisted for a low trading price.
While a reverse stock split affects the price of the stock, as well as its outstanding shares, it won’t alter its market capitalization. The company’s market cap was sitting at $2.937 million when markets closed on Monday.
Trading activity this morning has some 760,000 shares of ASTI stock changing hands. That’s still a ways off from its daily average trading volume of around 5.7 million shares.
ASTI stock is up 28.9% as of Tuesday morning.
Investors will want to keep reading for more of the latest stock market news.
We’ve got all of the hottest stock market happenings worth reading about on Tuesday morning. Among that is why shares of AgileThought (NASDAQ:AGIL) stock are up, the biggest pre-market stock movers this morning, and more. All of that news is ready to go at the links below!
More Stock Market News for Tuesday
- Why Is AgileThought (AGIL) Stock Up 26% Today?
- Today’s Biggest Pre-Market Stock Movers: 10 Top Gainers and Losers on Tuesday
- BB Stock Gains 15% After Launching BlackBerry Radar Devices
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On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.