A stock cannot go any lower. If you think it can, show me an example...

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Originally posted by presumptuous:
Rock bottom is 0.0001$

A stock cannot go any lower. If you think it can, show me an example...

pres

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He's right. No broker can accept and submit orders to MMs for less than .0001. So essentially, the stock can TRADE no lower - so if the stock does not go off of the exchange completely, then the company in charge begins to issue more and more shares, which explains why some of the stocks at these levels have billions of outstanding shares sometimes.

Bid is zero, ask is zero, opening price
is zero and volume is zero. No trading
halt or anything, just zero.

quote:

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Originally posted by GatorMan:
Actually, there IS a way for a stock to go below .0001. Its called a reverse split. The stock could could split 1 for 100 which reduces your shares to 1/100th and multiplies the price by 100. The price can then go back down to .0001, but you have a lot fewer shares!

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Gatorman, good point. Yet another way to lose money at these levels. Just have to be careful about what you buy into.