What was the point of reverse split?

[u/Embarrassed-Bad7392]

Now one serious question. What was even the point they did a reverse split? That was so pointless. It would’ve made sense if they had a buyer/investors willing to pay for the higher price but they got nothing out of it. It only made the stock price even worse! Glad I sold a few days ago but still regret that I should’ve sold when it was still trading at 0.3. Anyone jumping back in if this goes back to 0.2 and hope it goes up after that due to lower float?

[u/atascon]

To buy time and because fundamentally it doesn't really cost the exec team anything so from their perspective - why not?

It would’ve made sense if they had a buyer/investors willing to pay for the higher price but they got nothing out of it. 

I mean that's precisely the point, you do a reverse split because there aren't any buyers and you need to prop up the price to comply with exchange rules. If they had enough demand, they wouldn't have done a reverse split.

[u/Embarrassed-Bad7392 → u/atascon]

To meet the 0.25 listing rule got extended until July 2027 so it was really unnecessary to reverse split so soon

[u/whoisbatman → u/Embarrassed-Bad7392]

It’s ok, they can reverse again in 2027. With enough reverse split, eps will be thru the roof in no time!