What some companies do when their stock is going to be delisted because it is under $1
When a stock is at risk of being delisted for trading under $1, some companies may use questionable tactics to boost their price temporarily without a reverse split:
1. Promotional Hype – Launching pump and dump campaigns or issuing exaggerated press releases about vague partnerships or "hot" markets (e.g., AI, blockchain).
2. Volume Manipulation – Using wash trading or spoofing to fake high demand and drive up prices.
3. Insider Buying – Insiders or affiliates buy large amounts of stock to create confidence and attract retail investors.
4. Retail Targeting – Exploiting social media platforms to stir up FOMO among retail traders.
5. Financial Tricks – Delaying bad news or inflating earnings to paint a better picture.
These moves are usually short lived and unsustainable. Always be cautious with stocks relying on hype instead of fundamentals, take profits and know they do not always succeed in reaching 1.00 and will resort to a reverse split.
Where this type of pump may have taken place recently...
Disclaimer: Community is offered by Moomoo Technologies Inc. and is for educational purposes only.
Read more
Comment
Sign in to post a comment
bagsholder : how long the pump last? when it must maintain 1 dollar till?
This_Guy OP bagsholder : I didn't check, I was just in for the ride today, took nice profits and am out.