RS

Particular_Most_1529

As I said in your other post, if you can answer this, then I’d be a lot more confident for you. This is an astute and critical question. When dealing with a stock that has undergone a massive event like a 1-for-64 reverse stock split (RS), there is always the possibility that reported share figures, especially for financing instruments like the At-The-Market (ATM) facility, reflect sales that occurred prior to the RS. If the shares were sold pre-RS, the remaining ATM capacity would be dramatically lower. Based on a meticulous review of the regulatory filings, here is the analysis regarding the $68.5 million remaining ATM capacity and its relation to the September 2025 Reverse Stock Split: Analysis of ATM Sales vs. Reverse Split The available data strongly suggests that the $68.5 million ATM capacity is a remaining dollar value authorized, and that sales against the original dollar amount occurred pre-split. However, the subsequent lack of reporting since the split means that the risk of the remaining capital being deployed now is still extremely high. 1. The Reporting Date of ATM Sales • Original Authorization: The ATM facility was established under a Sales Agreement dated December 18, 2024, with an initial authorized aggregate offering price of $75,000,000.[1] • Sales Execution Date: The reported utilization of this facility—where 4,823,859 shares were sold for gross proceeds of $6,496,274 [1]—is detailed in a prospectus supplement dated subsequent to March 24, 2025.[1] • Pre-Split Conclusion: The reverse stock split was executed on September 8, 2025.[2, 3] Since the last reported sales under the ATM occurred by March 24, 2025, those 4.8 million shares sold were definitively sold prior to the 1-for-64 reverse split. 2. The Impact of the Reverse Split on ATM Capacity You are correct that sales prior to the split would have been against a huge number of shares (e.g., selling 4.8 million shares when the TSO was 32.2 million [4]), but the core ATM mechanism works on the dollar amount authorized: • Dollar Value Remaining: The amount remaining for sale is calculated by subtracting the gross proceeds received ($6,496,274) from the initial authorized amount ($75,000,000). This leaves the $68,503,726 in available dollar value.[1] The reverse split does not reduce this remaining dollar authorization; it only changes the number of shares that must be issued to raise that money. • Shares Post-Split: Because the remaining capacity is $68.5 million, the company's agents can now issue fewer shares, but at a higher post-split price, to raise the remaining cash. At the current price of $3.21 [Image 3], they can issue an estimated 21.34 million shares to retire the ATM.[1] Conclusion: The ATM Threat is Active and Massive The critical risk is that the company has not filed an updated 10-Q or 8-K since September 2025 detailing how much of the $68.5 million was utilized after the reverse split (i.e., in October and November 2025).[5] 1. Massive Capacity: The $68.5 million dollar capacity is confirmed as available to the company for sale.[1] 2. Dilution is Immediate: The company's agents (Cantor Fitzgerald & Co. and H.C. Wainwright & Co., LLC [1]) are authorized to continuously sell new shares against this dollar value right now, which is why the stock struggles to break through resistance levels. 3. The "Wall" is the ATM: The strong selling pressure you observe at the $3.15 threshold is the real-time proof that this facility is operational. The company is strategically selling into the liquidity created by the short squeeze momentum to raise the remaining $68.5 million, regardless of whether the initial sales were pre-split. The ATM facility represents a massive 4,200%+ dilution threat relative to the current low TSO, and it is the immediate, non-stop source of authorized selling that must be cleared before the market can sustain a price rally.

reddit_lemming

Bro, you gotta stop with the “bench” analogy. A top end GPU isn’t price inflated like a Rolls because of “exclusivity” and hand-stitched wool seats or whatever, it’s expensive because it’s using cutting edge tech to be fast as fuck on track, like a GT3 RS. You know what isn’t the fastest, but is still fast enough for most drivers to not notice the difference? A five year old previous gen GT3 RS. Rolls analogy is a straw man.

reddit_lemming

You’re right, they’re charging 911 GT3 RS prices. And you know what isn’t the FASTEST track car in the world, but is still pretty fucking fast? A previous gen 911 GT3 RS.

IntroductionNeat9230

Its been nosediving for the past week. RS incoming :(

Accomplished_Bath940

DFLI anyone still thinking RS is not very probable is delusional imo

Major_Complex5950

SGBX- HIDDEN DILUTION* I got many comments about hidden dilution lately about SGBX. Sorry if I could found this earlier. Here is what I found. The company has pay their lender the convertible notes that can convert at a discount. Total potential dilution(PIPE, amd convertible note after RS) is over 2M shares, which is huge compared to the float. Im sure we absorb some of the shares at the moment. Thats the reason the price did go crazy. With 70M volume today, lenders probably burn through a lot of the current dilution stack so the price didnt movement.(i thought it was Seattlement issue with microcap) We might not able to a squeeze due to unclear dilution issue.

Major_Complex5950

SGBX- HIDDEN DILUTION* I got many comments about hidden dilution lately about SGBX. Sorry if I could found this earlier. Here is what I found. The company has pay their lender the convertible notes that can convert at a discount. Total potential dilution(PIPE, amd convertible note after RS) is over 2M shares, which is huge compared to the float. Im sure we absorb some of the shares at the moment. Thats the reason the price did go crazy. With 70M volume today, lenders probably burn through a lot of the current dilution stack so the price didnt movement.(i thought it was Seattlement issue with microcap) We might not able to a squeeze due to unclear dilution issue.

Bullbythehorns25

There will be a vote and given the scummy nature of it, it most definitely RS

Forward_Gazelle678

RS = reverse split lets say you have 100 shares at $1/share, if the company does a 10:1 reverse split, you now have 10 shares worth $10/share. why would they do this? the company may be facing delisting, meaning they have failed to stay above $1/share for any given 10 day period. if they are unable to do that by means of organic growth they may reverse split to stay in compliance and remain listed by the NASDAQ. otherwise the stock goes under. a reverse split is a typically a sign of a dying company panicking to stay afloat and give off the appearance of doing well. but you will see shortly after the reverse split that the stock will plummet yet again. you can only buy yourself so much time before you are forced to face the inevitable or actually become profitable as a company.

eeewa

i’ve been holding for weeks and finally sold today … couldn’t see a way out with RS coming

Better-You-4034

What is RS and delist? I’m new to this

SailorFlight77

The main issue is that an RS is on the horizon. They are going to be delisted in March, unless stock price hit 1 USD. Either it do that organic or an RS occurs.

AcanthisittaFeeling6

SGD and SGBX pumping on various occasions, i've been on SGD pumps during 2024 and after RS. Market is crapping itself atm, so it prevents from SGBX to rise, but i believe it can pump easily. Low float high borrow rate, just needs to build a big momentum and maintain it's price above $4 for a major squeeze upwards.

ExistingChance5123

No, it’ll RS

deee__0

Need some advice.. would you DCA on MOBX or SWCO? neither? lol (I'm more desperate to get out of SCWO due to potential RS) My new avg's would be: MOBX: $0.82 --> $0.77 SCWO: $0.50 --> $0.43

Loud-Juggernaut-4284

Sgbx has been mainly spammed by one user across all penny/ short squeeze subs yesterday. This attempt to create hype might work due to the smallest float I have ever seen- 500k float and all this needs is hype. Reminds me of 6k investor on youtube, he clearly uses low float.com , picks any at the top of the list and creates hype with his 70k following. These plays always p&d- smart move if he gets out early. Doesn’t take much to move these low float plays. Whether the 300% SI is real or not is debatable since they recently had the RS which might not have adjusted the SI properly.. This could pay off but will rug pull hard

spaceman_maxpower89

Yeah il agree with you, I did a bit of research on the pumps and recommended plays, I just buy 100 and see where it goes, if it doubles great if I lose it's only pocket change, but my point is 4 out of the 10 i bought have gone through a reverse split and deeply red, 1 has gone OTC, the other popped and then plummeted too quickly for me to take profit, the other 4 are in risk zone of RS or delisting, trying to average my ass outta them But yeah don't be chasing the hype I'm much more cautious of anything getting hyped on reddit

FM_20161

They have until December 10th to regain compliance right? RS risk is too high for me. Thank you though for the insight. I'll wait and see.

Opening-Feed-1292

$MIST just had a great earnings with a bolstered cash position and upcoming FDA PDUFA decision on December 13th. Raze has done a good DD on these guys, solid biotech run up play with almost no dilution/RS risk.

Repulsive-Bottle-470

it is up 30% qtq and 1000% y/y revenue and has cash runway to q2 2026. The EP was about as good as we could have expected given the new CEO and everything. That being said, they diluted that shit to death where there's 150 million float size.  Massive insider buys in September followed by massive insider sells off in October when they used news to pump it leaves a bad taste in my mouth. Them also diluting it by another 15 million shares after they announced the ceo would be paid exclusively in company stock (what the fuck?) and then filing the RS after the stock plummets (partially because of the dilution) leaves an even worse taste in my mouth.  I had a bid in this company (100k+ shares), closed my last position today before the ep dropped after making lots of money trading this stock because I see it's basically dead in the water.  Only thing I can think of that could get the stock above a dollar is permanent CEO announcement + big investment/deal or something crazy. Otherwise it seems like they *really* want to reverse split for whatever reason. 

Jim_win_2765

Attack the shorts, the RS seems to have increased the price decrease!

comfortablynumb01

u/OptionsJive This is very helpful and an excellent post. How do you calculate RS-momentum and RS-Ration? What do they mean?

Typical-Whereas6761

I can’t wait for you to say “I think they will be fine after they go below a dollar and RS. Lmao

Dee___Snuts

After the RS ofcourse

infinitetekk

I sold my position, risk of RS is real since it has failed to recover over $1. Earnings could give it a tiny boost though

Meteyu32

I actually thought about you when I saw it was popping a bit. I have some calls, but can't bring myself to get in further with the RS looming. Unless they release some killer news, I don't see your PTs happening - that said, I hope I'm wrong and you're right.

Splendid_muralist

Hopefully no RS, hopefully to $1.00 by mid of end of November - and to $2.00-$3.00 by end of the year - 🚀

CubedSquares55

they approved 1:40 RS

Splendid_muralist

When is YDKG delisting? Or is it RS?

Ok-Ideal9009

Problem is all these biotechs need money for research and bringing to market. Guess who gets screwed over for that money? RS and dillution over and over again. As soon as the stock goes up these companies dillute because they have no revenue. I havent looked up this company but just saying in general.

diamondjw

Doesn’t make sense, just do a RS

diamondjw

It does work and did work. I’d prefer a 1/100 RS………and some more transparency but we’ll see

diamondjw

A RS could go much higher than $1 and that would make sense

Particular_Most_1529

So why dilute for 15M when he could have just said No. The reason is he needed enough stock to do a RS of 50-1 to meet NASDAC requirements

Particular_Most_1529

Then why pump the market if you knew you were going to dilute to .08 in the same day. What a way to screw your shareholders. The issue now is they have lost trust with the retail investors who have been burned. As soon as it RS it will drift back to 1 regardless if it is profitable or not. The. They will have to defend the $1 mark. It’s an issue YYAI is going through right now. And they have a 500M exchange about to go live

diamondjw

I’m good with a RS, a company with $200 million and profitable……we all know a RS is coming and I’m good…..all worked out

Particular_Most_1529

🚨 CHR (Cheer Holding) Management Just Pulled a Textbook Corporate Treachery Move: How They Used Buyout Offers to Cover an 1800% Dilution TL;DR: NASDAQ-listed CHR announced two buyout offers at $0.56/share and then immediately sold 187.5 million shares at $0.08, increasing shares outstanding by 1800%. This was a calculated move to kill the lowball buyouts and set up for a mandatory, massive 50-for-1 Reverse Split (RS) to avoid delisting. Retail shareholders paid the full price. The Timeline of Treachery and Collapse This is a sequence of events that prioritized management's leverage and survival over shareholder value. * The Crisis: CHR was facing a NASDAQ delisting notice for failing to maintain the $1.00 minimum bid price. Its US operating cash was severely limited by China/HK capital controls. * The Pump: On November 5, 2025 (AM), management announced two unsolicited, preliminary buyout offers at $0.56 and $0.52 per share. This news was guaranteed to create a temporary spike in the stock price (from ~$0.15 to ~$0.25+). * The Dump: Hours later, management announced a massive Registered Direct Offering, selling 187.5 million shares at $0.08 each to institutional investors, raising $15 million. The Catastrophic Math: Shareholder Equity Destroyed The key to this scandal is the massive increase in the share count: * The Dilution: The 187.5 million new shares instantly increased the share count from ~10 million to nearly 198 million shares—an 1800% dilution. * The Death of the Buyout: The original $0.56 offer made sense when the bidders were only acquiring ~10 million shares. After the dilution, the offer price would need to drop to around $0.029 per share to maintain the same total valuation. The original offers are now financially dead. * The Loss: Your equity stake is now divided by nearly 20 times the number of shares it was before. This is why the stock is in freefall. The Real Endgame: 50-for-1 Reverse Split Survival The $15 million was the cost of setting up the company for survival on the NASDAQ. * The Reason for Dilution: The massive sale created the huge number of available shares needed to execute a Reverse Split (RS) without failing secondary NASDAQ compliance tests (like minimum public float). * The Required Split: The stock is trading near $0.056 and must get above $1.00. A 20-for-1 RS is functionally useless and would fail immediately. The company will be forced to execute a 50-for-1 or 60-for-1 Reverse Split just to reach $1.00 with a small buffer. Final Verdict: Management chose to secure immediate, guaranteed USD cash and leverage at the direct expense of existing shareholders. They sacrificed the stock's value today to keep the company's ticker alive tomorrow. Watch for the RS announcement—it is the only move left.

Particular_Most_1529

That’s based on what the existing share count was, Then the added 24M shares in Dilution and then up to 163.5M warrants. Atm there is 113.5M known shares, which suggest warrants haven’t all been cashed. I can’t remember the exact share count before the dilution but would suggest there still is a big wall at the .08 mark. Also suggests that any offer atm would only be for about .05 a share. The issue of a hostile takeover could be made easier if one of the parties picked up cheap shares and then made a similar move over the coming RS.

gsbstaway

I would not recommend people to buy this with no thought. I am holding since September. So, far I have seen similar post with same reasoning multiple times. Be cautious most likely it will go RS.

Temporary_Path5147

I will sit on the sidelines until RS happens to counter Nagar dump lol

GiveMeNews

Because people who lost money on this want to pass the problem onto someone else. They don't want you chasing off the next chump. Funny thing is, Nagar will likely sell before most people even reach their exit point. He really doesn't seem to care if the company has to RS. Then there will likely be a lawsuit, but the company doesn't have any money.

Dee___Snuts

No. In two years I’d bearly be breaking even cuz of the RS that’s about to be announced soon. Time is something they don’t have . No 1$ by mid December and it’s done

Dee___Snuts

Honest opinion.. she might be dead. There’s nagar the biggest holder who will only sell, RS talks in the air as last resort that gives people fear and the fact that they have till early Jan for compliance so they need to be at 1$ by mid December. Perfect combo to not keep this stock from goin up. They need a hail marry

Glock7enteen

I’m rich (buy a GT3 RS in cash rich), tall, somewhat good looking, full head of hair, still young but I’m depressed asf and would give absolutely everything up just to get my ex back lmao

Miserable_Sweet_386

Cant RS without a vote, they won't get. Forced sale

Original-Confection2

Ticker Symbol: WTO Utime limited. 4 cents can triple before RS with enough volume

Grabm_by_the_poos

If their earnings suck i'd say it's a guaranteed they will RS. Now my hope is since they diluted twice in close succession which put them in a position to be delisted they are confident in their earnings being strong.

CicadaAdditional5390

What is RS

Dee___Snuts

Yea well that doesn’t work sorry to tell you. You guna spend the next year or two trying to break even if you down and they RS. Believe me . I been in three and two said the same thing about bigger investors and they never recovered . If dragonfly RS that’s the end of it for while

Accomplished_Bath940

It's under a dollar and some companies do RS to appear on a radar of bigger inverstors

Dee___Snuts

Why would they RS I thought dragonfly was over that now

Accomplished_Bath940

Unless it dips to 50 cents or does an RS. So yes it is a choice

Dee___Snuts

RS never good man

Accomplished_Bath940

No RS concern is misleading, not saying they will but they have the option if they want to

LogicalSpare7686

DFLI underrated no RS concern and no delisting concern they have 30+180 more days to get to $1

Oaker_at

My guy, do you play the price action? I doubt you play anything. You honestly asked people to go to 374 Waters Website to ask the CEO to not do a RS. The only thing you play is yourself.

FakeEmpire51

I’ve thought about going into it today. I’m afraid of a RS.

Legal-Industry-731

.48 is pretty much the bottom. And given how much SPY has dropped the past week or so, it’s doing relatively well for a penny stock. There’s literally no reason it would drop any further. It’s not a retail heavy stock so no big panic selling. They’re not broke enough to even think about a RS or offering yet. And the new CEO has experience at major companies.

Accomplished_Bath940

Worried about RS?

stevenryl866

If 10 days before reaching mid December they have to implement RS if not wrong

LongDickSwing69

AMC "Apes" are the worst. They been holding since the $74 dollar spike and 13 RS. No hope but they still hold and buy more.

Capable-Plankton-628

I hear you, but that doesn't mean they don't care. Their priority is obviously clearing debt, so they have more room to grow and operate, but I don't think that means they will RS now. I think, come next week, or even in the next month, if it continues downward despite news/patents/etc. - then an RS would be more plausible to me.

Capable-Plankton-628

Thats very fair, but I don't think they need to. They regained compliance recently, which, I believe, resets the clock on when they would need to RS in order to meet compliance again.

Any_Trust3489

no, they won't do an RS they aim for company growth

Remote_Ad1887

I'm asking someone who knows: maybe they're playing for RS at DFLI because of the $3.15 conversion price? I don't know at all, maybe I'm asking a total nonsense question.

CubedSquares55

reverse split or as I call it, "rugpull stock." Whenever an RS is announced, the insiders rugpull the stock and everyone loses their money

Organic_East_2214

whats RS sorry new to this

WishOk462

DFLI will go to 50 cents after RS in AH.

CubedSquares55

DFLI is announcing RS in AH btw

Grabm_by_the_poos

If DFLI does a RS id say it's probably a bad sign for the earnings report...

Green_Bumblebee1848

Guys i told you guys they might do a RS and i think there gonna do it because a 20% drop is not a normal sell off guys dont be fooled. I sold. ggs

GunterOasis

Shareholder meeting on I believe 10th. RS will be one of topics 💯

Green_Bumblebee1848

they might do a RS now bruh

FigureAggressive1302

I think this is the best strategy. I would like to double my position but I’m waiting for earnings and RS

-eShTuPiD

CODX had a strong call yesterday. The company also announced a SPAC deal, hiring Maxim Group to take its Indian joint venture, CoSara Diagnostics, public. Earnings call is next week. The shareholder meeting to vote on the reverse split is set for December 5. NASDAQ extended their compliance deadline to January 5, 2026, requiring the stock to stay above $1 for 10 consecutive days. The potential is clear, it only needs stronger support. And if we get compliant you can expect a "no" vote for a RS

Necessary-Warthog-17

My dd is correct. The RS is without dilution

Necessary-Warthog-17

They are doing a RS without dilution

VanillaCakePeople

Let's not forget that they used up their 180 day compliance extension 7 weeks ago, leaving just 4 more months that they'll either need to jump to $1 or pull a RS.

VanillaCakePeople

Just need to remember that they have already used their 180 day compliance extension 7 weeks ago, leaving them with around 4 months left to regain compliance. So the only two things I can see happening are either they skyrocket to $1 before then or they do a RS.

NoRhubarb2277

There were two RS in June and Oct of this year, Oct was 11 to 1

Convenientjournal

I'm not in it at the moment. Currently balls deep in TNMG. RVPH still seems like a good play to me, but after they get a Nasdaq listing extension. Their deadline is fast approaching and their possible solution of an RS is still on the table unfortunately. Goodluck!

Ok-Ideal9009

I think biotech scares a lot of people. Lots of dillution and RS in the past with all these companies.

Little-Appearance376

NVVE js up based on nothing man, so frustrating. They approved an RS in October I just don’t get it

Miserable-Pilot8841

I won’t call NVVE the next DFLI… BUT - They make EV charging solutions that allow you to off load you cars battery back to the grid when you’re not using it (idk how it works) - They were recently issued a notice to regain compliance and recent granted an extension to December 31st. - American company $NVVE ticked all the same boxes $DFLI did for me when I made my initial 0.48 purchase of shares. I’m aware of the RS. Still doing more DD, but its movement this morning is interesting.

Dry_Crazy_9507

Name one example, where a stock did not plummit after RS. I believe in the company, but this might not be the best moment to invest.

Negative_Ad_3822

long this company but not currently in. heard possible RS? will wait but this company is doing important stuff - if they execute could potentially be easy 10x

liquidsyphon

I just got a vote thing for reverse split, which usually means RS incoming

BigCommunication5582

I think the big scary question is if the RS split goes through, which is highly likely. I love this company buy likely will get in after the Dec 26th dilution.

GunterOasis

I think it could . They are only voting for RS in next meeting, it doesn’t mean they will implement it right away. If they make right moves there is possibility. After all it is Chinese stock, so be careful

GunterOasis

I know you guys do not like Chinese stocks, but $WTO could reach $0.1 this week. They have Shareholders meeting scheduled for 10th and RS will most likely get approved. $YYAI reached $0.18 before RS in 2 days and this stock is following in exact footsteps

FreshExtent8720

AMC will RS again

Little-Appearance376

They approved an RS on the 6th of Oct. I saw this stock last week but was like urmmm I dont know haha

Miserable-Pilot8841

At this point the RS announcement may even pump the stock. They have been oddly quiet

Substantial-Rip-2399

Yeah that's all I saw too. The RS scares me

Miserable-Pilot8841

Pretty much no information aside from a share holder voted RS we have yet to get confirmation on. Been lurking this one for a couple weeks now.

thatlucky7

Excellent point, I can't disagree that the fundamentals are dogshit. We know. That's why the shorts are balls deep. What I'm arguing is that the combination of a forced RS and broken technicals creates a high-probability, short-term squeeze opportunity that is completely disconnected from the underlying fundamentals. The shorts will probably be right in the long run, but they can also get absolutely annihilated in the short term by a catalyst they have no control over. For me this is a trade not an investment.

Miserable-Pilot8841

I would like to get back on DFLI but it’s been like a toxic ex to me. I don’t have the heart for another RS, but man it’s pretty.

GunterOasis

So according to sec files shareholder approved RS, but board has not decided yet when and at what ratio will be done . Am I missing something?

GunterOasis

Do you have link for this? I read somewhere that RS passed and to monitor Sec fillings for 8-K form . I would appreciate link if you have one

Particular_Most_1529

No more dilation is possible tho. They are at the max, They can’t RS for a year. The exchange is up and has 4 million users in final testing phase atm. Goes live December. Also the shorts are trapped. No liquidity at 20M shares and most are held secure. There are far more synthetic shorts than shares, and all paying well over 100%. They have until T+35 to return them or it will be $150 the next day.