|
Video: What is a Stock Split?
|
|
AVITA Medical and its subsidiaries, including AVITA Medical Pty Limited, is a regenerative medicine company that is developing and commercializing a technology platform that enables point-of-care autologous skin restoration for multiple unmet needs. Co.'s patented and proprietary platform technology provides treatment solutions derived from the regenerative properties of a patient's own skin. Co.'s RECELL® Autologous Cell Harvesting System enables clinicians to prepare Spray-On Skin Cells, an autologous skin cell suspension that is sprayed onto the patient to regenerate healthy skin. According to our RCEL split history records, AVITA Medical has had 1 split. | |
|
AVITA Medical (RCEL) has 1 split in our RCEL split history database. The split for RCEL took place on June 30, 2020. This was a 1 for 5 reverse split, meaning for each 5 shares of RCEL owned pre-split, the shareholder now owned 1 share. For example, a 1000 share position pre-split, became a 200 share position following the split.
When a company such as AVITA Medical 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 RCEL split history from start to finish, an original position size of 1000 shares would have turned into 200 today. Below, we examine the compound annual growth rate — CAGR for short — of an investment into AVITA Medical shares, starting with a $10,000 purchase of RCEL, presented on a split-history-adjusted basis factoring in the complete RCEL split history.
Growth of $10,000.00
Without Dividends Reinvested
|
Start date: |
04/22/2014 |
|
End date: |
04/18/2024 |
|
Start price/share: |
$11.90 |
|
End price/share: |
$8.87 |
|
Dividends collected/share: |
$0.00 |
|
Total return: |
-25.46% |
|
Average Annual Total Return: |
-2.90% |
|
Starting investment: |
$10,000.00 |
|
Ending investment: |
$7,451.22 |
|
Years: |
10.00 |
|
|
|
Date |
Ratio |
06/30/2020 | 1 for 5 |
|
|