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A comment on 1/4 of companies that IPO'd in 2020-2021 trades below $2, risking delisting. Parent comment

Re:1/4 of companies that IPO'd in 2020-2021 trades below $2,... by malfist on Monday December 19, 2022 @09:29AM (#34052412)
Stocks that trade under $5/share are considered "penny stocks", exchanges generally don't want penny stocks on their list because they don't want to endorse them. They're highly volatile, and can be easily manipulated.

I believe for DIJA if they have a valuation under $2 for longer than a year they get delisted.

This doesn't mean you can't trade them anymore, they just become OTC (over the counter) stocks. Many brokers offer access to OTC stocks, but liquidity is a real concern with those stocks.

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Re:1/4 of companies that IPO'd in 2020-2021 trades below $2,... by Kon-Peki on Monday December 19, 2022 @10:04AM (#34052878)
Also, if a stock gets delisted that isn't necessarily permanent. If the company gets it act together it can be re-listed on the exchange. For example, Tandy Leather Factory was delisted from Nasdaq in 2020 because of accounting problems (I think) and was re-listed about 3 months ago.
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