I bought some penny stocks a couple of months ago for some fun. I bought 250,000 shares at .002 each.
Yesterday, my shares in the original ASX name went to 0 and a new asx code came up in my portfolio (same company name) the stocks had jumped from .002 to .013 but now I only have 25,000 instead of 250,000.
I couldn’t see anything in the company announcements saying they were moving them and the old asx code is still open…
Is this right or have they made a mistake…?
Called a reverse stock split, which is somewhat frequently seen in penny stocks. This is to stop the SP from falling to .001 a share and thus drying up all liquidity. So no mistake, but generally good companies will do the opposite as their share price continually rises, driven by favorable community sentiment. Not offering financial advice but at least you didn't put your mortgage on it. Most low market cap companies go bust.
Ok- never heard of this. I’ll have to do some reading…was very curious as to what happened. Glad it wasn’t worth a lot more!
Thanks.
lol, if you dunno whats happening to your stocks maybe consider something else
Usually stick to ETFs but was curious on penny stocks.
I dont understand the move from ultra safe to casino-esq gambling.
There is a lot in between
Pretty normal if they restructured or were taken over. Check the announcements from each company.
There’s no harm in sharing the codes here and someone can have a look for you.
This happened to SXL last year! All good
Would be helpful to know the name. It would have been flagged in company announcements
ECT.
https://www2.asx.com.au/markets/trade-our-cash-market/announ…
Look at the EGM announcements and "consolidation" announcements. It's all there and if you've done the admin at the share registry you would have received documentation either via snailmail or email.
Thanks! We moved house so it may have gone to our old address. No matter- glad to learn something new and work out what’s going on 👌
What probably happened is a name change and consolidation aka reverse stock split.