Stock split help

Discussion in 'Stock Market' started by Bern80, Aug 9, 2011.

  1. Bern80
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    Bern80 Gold Member

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  2. Paulie
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    Paulie Platinum Member

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    They just discovered 58 million ounces of silver reserves in one of the properties they bought in Peru. They did a 10:1 split back in June and share price increased about 1000% but that was also on the good news they had in June as well. It's hard to say what would happen this time around because outstanding shares afterward will be over 4 billion. I'd probably be a buyer after the split if I was still trading stocks.
     
  3. Douger
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  4. Paulie
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    Paulie Platinum Member

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  5. Bern80
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    Bern80 Gold Member

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    Thanks. I guess what I am more interested in is the particulars of this article and what it means for the shares I do own. Specifically this part of the article:

    My questions are what does a dividend in the form of 10:1 stock split mean in laymans terms? How does one find out who the transfer agent is and turn their shares in (mine are currently in a portfolio on etrade)?
     
  6. Baruch Menachem
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    Baruch Menachem '

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    A 10 for one split when the price per share is under a dollar. That is weird.

    If you are a novice investor you really shouldn't be playing in penny stocks, or be playing in precious metals either. If you don't know what a stock split is, you don't have any business playing in penny stocks in precious metals where the main mine is in a third world country with an unstable government

    A forward split means they are giving you additional shares for the shares you have. Everyone gets the same deal, so essentially for every share you have worth 25 cents after the split you will have 10 shares worth 2 1/2 cents.
     
  7. Bern80
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    Bern80 Gold Member

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    I do know what a stock plit is. The part I'm unclear about is the mechanism by which they are converted.
     
  8. California Girl
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    My advice: Don't ask strangers on a message board about things that affect your finances. That's a fucking stupid thing to do.
     
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  9. Toddsterpatriot
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    Toddsterpatriot Gold Member

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    Call eTrade and explain the situation.
    Tell them you want to surrender your existing shares to the transfer agent for the split.
    They should do all the work.
     
  10. Paulie
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    Paulie Platinum Member

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    I thought I knew a pretty fair amount about the markets, but I've never heard of a stock split where it's not done automatically.
     

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