Looks like it won’t be long until we get there. What happens when a stock gets so low?
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@1omx for the win with the correct answer.
There is a listing requirement for the NASDAQ, requiring that the stock remain at or above $1 to stay listed on the exchange. Companies have 30 days after falling below $1 to return to that level. And there are ways to do that without improving the business, such as doing a reverse stock split. Of course, that's a desperation move (but the company is desperate).
Ultimately, though, if the company goes bankrupt, then the stock effectively goes to zero, so it will be delisted anyway. Performing reverse stock splits is a time consuming and expensive process. I doubt they have the time or wherewithall.
I will take 100 shares for a dollar please
Nothing immediate happens. Becoming a "penny stock" is really just a psychological hit. I don'y think the stock will be delisted until Sears Holdings files for bankruptcy.