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$SCNX -16.09% — what the base rate says

$SCNX -16.09% — what the base rate says

Start with the ratio on $SCNX: Q2 revenue of $343,639 against an accumulated deficit of $86.8M. That deficit equals more than 250 quarters of revenue at the current pace.

Monday's 1-for-25 reverse split turns every 25 shares into one. On a 34M-share float that leaves roughly 1.36M. The stated purpose is "making additional shares available for future issuance." The company shrinks the count, and it says the reason is room for more shares.

The stock goes into the weekend at -16.09% after a T1 halt Friday night. You'd want its own history here, and there isn't much of it: eight prior opening gap-downs of 5% or more. Eight is an anecdote. We aren't going to dress it up as a sample.

So this Saturday's homework is the split filing, not the chart. Find the authorized share count after the split and compare it with what will be outstanding.

The feed still doesn't say what the halt was for, and the split takes effect Monday.

What the data showed

  • $SCNX -16.09% mcap $7M · float 34M shares · sector: PHARMACEUTICAL PREPARATIONS
  • $NBIS +4.61% mcap $63.1B · float 176M shares · sector: Services-Computer Programming, Data Processing, Etc.

SCNX has only eight qualifying gap-downs, so check that thin record on FILTRIX.net and see how little it can tell you. Some weeks the honest backtest result is "not enough data."

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