Usually RS are a sign of weakness however CYTK could play one into its advantage. It is true that a large portion of the float is already owned by institutions. There are rules and bylaws particular to different funds, however, that in many cases preclude the purchase of shares of a company under a particular share price. A reverse split during a sequence of positive trial data could do good things for the market cap.
mo, i have already told you once that we have a long list of funds and institutional investors that already own the stock. they don care that the price is below 5. also, your point about the share price doubling over night if the float was low dosent make sense. if the price doubles, the market cap doubles, no matter what the share price is.