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Stocks

Reverse Stock Split

In the world of finance, companies sometimes use a technique known as reverse stock split. This involves decreasing the number of available shares and combining their value into fewer, more valuable shares. This results in an increase in the stock's par value. This strategy is commonly utilized by companies facing the possibility of delisting from an exchange due to a low stock price. Essentially, it is a way to boost the perceived value of a company's stock.
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A comprehensive resource containing definitions and explanations of terms, concepts, and jargon used
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