You know, this is exactly what you DON"T want to see in a safe harbor statement if you own a stock:
Safe Harbor Statement:
This release may contain forward-looking statements that involve risks and uncertainties including, without limitation, forward-looking statements relating to the company's financial prospects and projections, the company's ability to increase its business, and the anticipated timing and financial performance of new products. Among the important factors that could cause actual results to differ materially from those in the forward-looking statements are new and changing technologies, customer acceptance of those technologies, -- fluctuations or cancellations in orders from customers, new and continuing adverse economic conditions, and the company's ability to compete effectively with other software companies.
Good question. Someone else posted September 8th as I recall as the desisting date, NASDAQ rules put it at 180 days below $1, but I can't see where this stock was above $1 since last July.
Odds though aren't really what you buy or sell stocks on, at least if you're trying to make money. A stock split does not change the underlying value of the company, it only temporarily changes the share price. A reverse split can keep SMSI from delisting, but only if they manage to change the fundamental downward projection of their company which, as far as I can see, hasn't turned in a single profitable quarter in three years now. With net tangible assets of 10 million, and a 3 million burn rate as of the last quarter, they have about a year to bankruptcy unless they can get things turned around.
There have been a couple where it worked well, Priceline being the most famous recent one. The key of course is the fundamentals of the company. A reverse split does nothing to change those. SMSI seems to be holding steady over 50 cents a share so it would get them out of immediate delisting range, but they still need to turn their business around, which would seem to be a rather tall order. I'm not particularly hopeful about them, and have no stock position in this company. My interest in them is in their Graphics design products.
Yeah, but the Euro valuation will effect their profit margins. The question is how unstable the European Union becomes over this. If anybody else even schedules a referendum on the subject the markets are going to be impacted. I don't think that will impact STM any more or less than any other company though, if the global economy tanks, it tanks for everybody.
That's about where I am. I have as much of this one as I want, I think it is heading up again over time, and 6 cents a share comes out to about 3% after taxes for a reasonably stable investment. I'm going to sit on this one for a while.