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Video: What is a Stock Split?
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Sierra Metals is a mining company focused on the production, exploration and development of precious and base metals in Peru and Mexico. Co. has mining properties at several stages of development and manages its business on the basis of the geographical location of its mining projects. The Peruvian operation includes the Yauricocha mine in Yauyos Province, Peru and its near-mine concessions. The Mexican Operation includes the Bolivar mine in Chihuahua, Mexico and the Cusihuiriachic property in Chihuahua, Mexico, their near-mine concessions and the Mexican exploration and early stage properties. According to our SMTS split history records, SMTS has had 1 split. | |
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SMTS (SMTS) has 1 split in our SMTS split history database. The split for SMTS took place on April 11, 1997. This was a 1 for 10
reverse split, meaning for each 10
shares of SMTS 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 SMTS 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 SMTS 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 SMTS shares, starting with a $10,000 purchase of SMTS, presented on a split-history-adjusted basis factoring in the complete SMTS split history.
Growth of $10,000.00
With Dividends Reinvested
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Start date: |
07/13/2017 |
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End date: |
11/14/2022 |
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Start price/share: |
$2.75 |
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End price/share: |
$0.20 |
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Starting shares: |
3,636.36 |
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Ending shares: |
3,715.99 |
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Dividends reinvested/share: |
$0.03 |
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Total return: |
-92.57% |
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Average Annual Total Return: |
-38.53% |
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Starting investment: |
$10,000.00 |
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Ending investment: |
$742.92 |
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Years: |
5.34 |
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Growth of $10,000.00
Without Dividends Reinvested
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Start date: |
07/13/2017 |
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End date: |
11/14/2022 |
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Start price/share: |
$2.75 |
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End price/share: |
$0.20 |
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Dividends collected/share: |
$0.03 |
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Total return: |
-91.64% |
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Average Annual Total Return: |
-37.15% |
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Starting investment: |
$10,000.00 |
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Ending investment: |
$836.47 |
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Years: |
5.34 |
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Date |
Ratio |
04/11/1997 | 1 for 10
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