Any smart people want to educate me/us on reverse splits?

I bought 166 shares of STAF @ 0.57 on a whim yesterday. When I checked today, I had a message saying they performed a 1 for 6 reverse split. Now I had 27 shares at 3.44.

I just looked and it's up 52% after hours and is sitting at $5.64. What a windfall, eh?

Is this typical of reverse splits? Seems odd to me, but I'll admit to being a major noob.
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So you had 166 shares at .57. A 1 for 6 reverse split means that you now have 1/6 the number of shares at 6 times the price, so the value is the same. It's usually done because the stock is about to be de-listed because the price is too low. I generally pay no attention to splits or reverse splits.

Nice after-hours boost, though.
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Generally done for companies in trouble. Not sure on the after hours bounce but this generally isn't a financially solid company/move. But it can be done in an attempt to get listed on an exchange as well (possibly a positive outcome).
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Reverse splits FAIL 95% of the time. They are NEGATIVE not positive.

Normal splits of 3:1 or 5:4 or 2:1 indicate a growing strong company.

Reverse splits are the OPPOSITE of forward splits and also the opposite in terms of success.
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Up to 2 shares! I'm impressed :-)
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How'd you know? Should have waited a day though
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Dang. It's a good stock market today and I happen to own several stocks that got hammered for various random reasons.
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Biotech getting crushed.
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I was coming in for my morning checkup thinking I was going to be happy, and then I saw the list of biggest declines. Cruise ship companies, Schwab, IBM, etc. Yeesh.

I'm still up a bit overall, but not nearly where the market is.
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Yeah weird day. I got stopped out for losses on quite a few trades today even though all indexes are green. That’s pretty rare for me.
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This is correct. In sub 1.00 stocks it is usually done because the company is trying to avoid the Nasdaq delisting rule that you have to be above 1.00 for a certain amount of time. Usually a penny stock that is going to be diluted over and over and over again until it goes bust.
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Strong day for FANGMAN
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Congratulations

I’ll never be able to do that.

I bought in at $26.12 & as long as it stays around $50 I’ll be alright.

I think I’ll sell @ $40 but maybe $35 if it gets that low. Still a profit but no multimillionaire.
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51 was the low threshold if it would have stayed below it we would have more then likely lost but I think we'll be fine now. Going to squeeze soon
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I'm looking for a pop on Monday. Like after Memorial Day. Pattern is the same.
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