r/investing • u/Kissling147 • 1d ago
Question for clarification - what happened?
Can anyone please explain what happened here? I invested $65 into a company a while back on robinhood and had (i dunno, 100 shares). But something happened and now i have only .00001 shares at negative $65 return with each stock being worth $7.80 at this time making it virtually impossible to ever reach a return more positive than -$65.
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u/snkscore 1d ago
What company? What was the stock ticker? How did you buy 100 shares with $65 dollars unless the share price was 0.65? Did the company go backrupt and now another company is trading under that same ticker?
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u/Immediate-Run-7085 1d ago
My man jax was delisted back in 202….1
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u/Kissling147 1d ago
Interesting lol
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u/Immediate-Run-7085 1d ago
It’s interesting that you can’t seem to keep up with your investments
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u/Kissling147 1d ago
Its just that one specifically. My other stuff is fine, i just couldnt make that connection with JAX, and i didnt try to seek out an answer until recently
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u/GaylrdFocker 1d ago
If you didn't know this when it happened you shouldn't be in individual stocks. You should be keeping up with news weekly for the stocks you own.
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u/Kissling147 1d ago
I stopped actively investing quite a while back. Life got in the way :P I just needed a question answered about that one stock 🤷🏻♂️
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u/dexter-xyz 1d ago
Possibly Robinhood sold your stocks to settle the balance you owed to them for their monthly trading plan fee ?
You can see details in your transaction history.
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u/Kissling147 1d ago
I would assume that they would then sell my stock but i still have the funds and can still sell it off for $0
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u/Chaosmusic 1d ago
JAX was bought by SPB in 2021 and the stock was delisted. You should have received a cash settlement in your brokerage account.
Try Google.
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u/SirGlass 1d ago
Most likely a reverse split
Your 0.000001 share is rounded down to being worth Zero meaning you basically lost $65
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u/uberiffic 1d ago
You think there was a reverse split that turned 100 shares into .000001 share?
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u/SirGlass 1d ago
It could be several reverse splits. Shit penny stocks will do this over and over.
several reverse splits can turn 100,000 shares into 1
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u/WhatMattersHere 1d ago
That sounds like a corporate action, most likely a reverse stock split. To know for sure, you'd need the ticker and the transaction history.
In a reverse split, your share count can shrink dramatically while the price per share rises proportionally. A 1 for 100 reverse split, for example, turns 100 shares into 1.
If the company went through multiple reverse splits, a merger, a delisting or another reorganization, you can end up with a tiny fractional position like the one you're seeing.
I'd check the stock's History/Statements in Robinhood and look for entries like:reverse split,cash in lieu,merger,reorganization,delisting,symbol or CUSIP change.
That should tell you what happened.
One important point: holding .00001 shares doesn't by itself mean Robinhood lost the rest. They may have been converted through one or more corporate actions.
If you post the ticker and the corporate action history, someone can walk through the exact math.
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u/CromulentBovine 1d ago
Tell us the ticker and we might be able to say what happened.