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Video: What is a Stock Split?
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First Wave BioPharma engaged in the research and development of non-systemic biologics for the treatment of patients with gastrointestinal disorders. Co. is focused on developing its drug product candidate, MS1819, a yeast derived recombinant lipase for exocrine pancreatic insufficiency associated with cystic fibrosis and chronic pancreatitis. Co.'s b-lactamase program focuses on products with an enzymatic combination of bacterial origin for the prevention of hospital-acquired infections and antibiotic-associated diarrhea by resistant bacterial strains induced by parenteral administration of several antibiotic classes. Co.'s compounds in pre-clinical development include: AZX1101 and AZX1103. According to our FWBI split history records, First Wave BioPharma has had 3 splits. | |
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First Wave BioPharma (FWBI) has 3 splits in our FWBI split history database. The first split for FWBI took place on August 26, 2022. This was a 1 for 30 reverse split, meaning for each 30 shares of FWBI owned pre-split, the shareholder now owned 1 share. For example, a 1000 share position pre-split, became a 33.3333333333333 share position following the split. FWBI's second split took place on January 18, 2023. This was a 1 for 7 reverse split, meaning for each 7 shares of FWBI owned pre-split, the shareholder now owned 1 share. For example, a 33.3333333333333 share position pre-split, became a 4.76190476190476 share position following the split. FWBI's third split took place on December 18, 2023. This was a 1 for 20 reverse split, meaning for each 20 shares of FWBI owned pre-split, the shareholder now owned 1 share. For example, a 4.76190476190476 share position pre-split, became a 0.238095238095238 share position following the split.
When a company such as First Wave BioPharma 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 FWBI split history from start to finish, an original position size of 1000 shares would have turned into 0.238095238095238 today. Below, we examine the compound annual growth rate — CAGR for short — of an investment into First Wave BioPharma shares, starting with a $10,000 purchase of FWBI, presented on a split-history-adjusted basis factoring in the complete FWBI split history.
Growth of $10,000.00
Without Dividends Reinvested
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Start date: |
10/12/2016 |
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End date: |
03/28/2024 |
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Start price/share: |
$23,016.00 |
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End price/share: |
$4.38 |
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Dividends collected/share: |
$0.00 |
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Total return: |
-99.98% |
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Average Annual Total Return: |
-68.27% |
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Starting investment: |
$10,000.00 |
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Ending investment: |
$1.90 |
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Years: |
7.46 |
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Date |
Ratio |
08/26/2022 | 1 for 30 | 01/18/2023 | 1 for 7 | 12/18/2023 | 1 for 20 |
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