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Video: What is a Stock Split?
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Ra Medical Systems is a commercial-stage medical device company. Destruction of Arteriosclerotic Blockages by Laser Radiation Ablation is Co.'s minimally-invasive excimer laser and single-use catheter system that is used by physicians as a tool in the endovascular treatment of vascular blockages resulting from lower extremity vascular disease by breaking down plaque to its fundamental chemistry to eliminate blockages by essentially dissolving them without generating potentially harmful particulates. Pharos is Co.'s excimer laser device that emits highly concentrated ultraviolet light and is used as a tool in the treatment of dermatological skin disorders. According to our RMED split history records, RMED has had 2 splits. | |
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RMED (RMED) has 2 splits in our RMED split history database. The first split for RMED took place on November 17, 2020. This was a 1 for 25 reverse split, meaning for each 25 shares of RMED owned pre-split, the shareholder now owned 1 share. For example, a 1000 share position pre-split, became a 40 share position following the split. RMED's second split took place on October 03, 2022. This was a 1 for 50 reverse split, meaning for each 50 shares of RMED owned pre-split, the shareholder now owned 1 share. For example, a 40 share position pre-split, became a 0.8 share position following the split.
When a company such as RMED 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 RMED split history from start to finish, an original position size of 1000 shares would have turned into 0.8 today. Below, we examine the compound annual growth rate — CAGR for short — of an investment into RMED shares, starting with a $10,000 purchase of RMED, presented on a split-history-adjusted basis factoring in the complete RMED split history.
Growth of $10,000.00
Without Dividends Reinvested
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Start date: |
09/28/2018 |
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End date: |
08/17/2023 |
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Start price/share: |
$22,750.00 |
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End price/share: |
$0.59 |
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Dividends collected/share: |
$0.00 |
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Total return: |
-100.00% |
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Average Annual Total Return: |
-88.47% |
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Starting investment: |
$10,000.00 |
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Ending investment: |
$0.26 |
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Years: |
4.89 |
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Date |
Ratio |
11/17/2020 | 1 for 25 | 10/03/2022 | 1 for 50 |
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