Why ContextLogic Stock Is Getting Hammered

ContextLogic Inc WISH shares are trading lower by 22.96% to $0.32 Tuesday afternoon after the company announced a 1-for-30 reverse stock split.

What Else?

ContextLogic says the reverse stock split is intended to enable the company to regain compliance with the minimum bid price requirement for continued listing on The Nasdaq Global Select Market.

See Also: Why Coinbase Stock Is Climbing Higher Today

The 1-for-30 reverse stock split will automatically convert 30 shares of the company's common stock into one new share of common stock.

Meanwhile, the reverse stock split will not reduce the number of authorized shares of ContextLogic's common stock, which will remain at 3 billion.

According to data from Benzinga Pro, WISH has a 52-week high of $2.28 and a 52-week low of $0.32.