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Video: What is a Stock Split?
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Obalon Therapeutics is a medical device company focused on developing and commercializing medical devices to treat people with obesity. Co.'s primary product offering is the Obalon Balloon System. Co.'s Obalon Balloon System consists of a swallowable capsule that contains an inflatable balloon attached to a microcatheter; the Obalon Navigation System console, which is a combination of hardware and software used to track and display the location of the balloon during placement; the Obalon Touch Inflation Dispenser, which is a semi-automated, hand-held inflation device used to inflate the balloon once it is placed; and a disposable canister filled with its proprietary mixture of gas. According to our OBLN split history records, OBLN has had 1 split. | |
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OBLN (OBLN) has 1 split in our OBLN split history database. The split for OBLN took place on July 25, 2019. This was a 1 for 10 reverse split, meaning for each 10 shares of OBLN owned pre-split, the shareholder now owned 1 share. For example, a 1000 share position pre-split, became a 100 share position following the split.
When a company such as OBLN 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 OBLN split history from start to finish, an original position size of 1000 shares would have turned into 100 today. Below, we examine the compound annual growth rate — CAGR for short — of an investment into OBLN shares, starting with a $10,000 purchase of OBLN, presented on a split-history-adjusted basis factoring in the complete OBLN split history.
Growth of $10,000.00
Without Dividends Reinvested
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Start date: |
10/07/2016 |
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End date: |
06/15/2021 |
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Start price/share: |
$150.00 |
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End price/share: |
$3.05 |
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Dividends collected/share: |
$0.00 |
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Total return: |
-97.97% |
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Average Annual Total Return: |
-56.42% |
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Starting investment: |
$10,000.00 |
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Ending investment: |
$203.29 |
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Years: |
4.69 |
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Date |
Ratio |
07/25/2019 | 1 for 10 |
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