Drago,

PS I appolgoze. What I wrote was actually based on a normal stock split, not reverse, but it’s all still the same.  

If a company earns 100 million in earnings and has 100 million shares outstanding then they earn one dollar per share.  However if they earn the same 100 million on a reverse split now of only 50 million shares outstanding, then they earn two dollars per share.  

Again the underlying fundamentals would actually move the stock price twice as much post reverse split compared to pre split and you would make exactly the same profit because your shares would be cut in half.  

Or, if that didn’t help you to better understand, think of it this way.  For each dollar increase in stock price, it takes a pre reverse split stock twice as much good news to happen to raise that one dollar in stock price appreciation compared to raising that same dollar in stock price appreciation post reverse split.  

While the mud is even muddier I know, don’t worry about your concern because it’s actially not valid. You’ll make exactly the same amount in profit either way.

This whole issue in its entirety is really nothing more than funny money.