Sun's share price has fallen so low it is about the same as before last year's reverse stock split. So is Sun turning into another Unisys? In September 2007 Sun proposed a 1:4 reverse stock split (stock consolidation) to its shareholders as its share price headed down to $5, continuing a long fall. The three benefits were said to be an "increased, more attractive stock price ... [which] could return ... to a level that we believe is more consistent with other major, widely held companies ... reduced stockholder transaction costs [through] lower commissions to trade a fixed dollar amount of [Sun] stock ... [and] increased earnings per share visibility". The split went ahead in November, and the stock price went up to $20. Hey presto. Or not. The stock is now down to $5.21 and the Sun's market capitalisation is under $4bn at...
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