Newegg Commerce Inc (NASDAQ:NEGG) shares are trading lower by 18.7% to 31 cents during Friday’s session after the company announced a 1-for-20 reverse stock split.
What To Know: Newegg, an e-commerce platform for technology products, announced a twenty-to-one reverse stock split of its common shares, approved by its board and controlling shareholders. The move aims to help the company maintain compliance with Nasdaq’s minimum listing price requirements.
The share combination is expected to take effect around April 7. All shareholders will be affected proportionately, with no change to their percentage ownership, except for fractional shares, which will be converted to cash.
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How To Buy NEGG Stock
Besides going to a brokerage platform to purchase a share – or fractional share – of stock, you can also gain access to shares either by buying an exchange traded fund (ETF) that holds the stock itself, or by allocating yourself to a strategy in your 401(k) that would seek to acquire shares in a mutual fund or other instrument.
For example, in Newegg Commerce’s case, it is in the Consumer Discretionary sector. An ETF will likely hold shares in many liquid and large companies that help track that sector, allowing an investor to gain exposure to the trends within that segment.
According to data from Benzinga Pro, NEGG has a 52-week high of $1.32 and a 52-week low of $0.34.
