When a company such as REE Automotive conducts a reverse share split, it is usually because shares have fallen to a lower per-share pricepoint than the company would like. This can be important because, for example, certain types of mutual funds might have a limit governing which stocks they may buy, based upon per-share price. The $5 and $10 pricepoints tend to be important in this regard. Stock exchanges also tend to look at per-share price, setting a lower limit for listing eligibility. So when a company does a reverse split, it is looking mathematically at the market capitalization before and after the reverse split takes place, and concluding that if the market capitilization remains stable, the reduced share count should result in a higher price per share.

Looking at the REE split history from start to finish, an original position size of 1000 shares would have turned into 33.3333333333333 today. Below, we examine the compound annual growth rate — CAGR for short — of an investment into REE Automotive shares, starting with a $10,000 purchase of REE, presented on a split-history-adjusted basis factoring in the complete REE split history.

About REE Automotive

REE Automotive is a development stage technology company in the field of electric mobility. Co. has developed two core innovations which make up the foundation of its products: the "REEcorner", which integrates vehicle components into an area between the chassis and the wheel creating a single module that is controlled via Co.'s proprietary X-by-Wire Control technology which controls each of the corners of the vehicles; and the "REEboard", a fully flat and modular EV chassis that includes the REEcenter control system, the "REEcenter", thermal management, power converter and power module. Co. developed wheel-based suspension technologies for personal mobility. According to our REE split history records, REE Automotive has had 1 split.

REE Split History | www.SplitHistory.com | Copyright © 2013 - 2024, All Rights Reserved