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MANITOWOC, Wis. - Orion Energy Systems, Inc. (NASDAQ:OESX), currently trading at $0.63 with a market capitalization of $22 million, announced Tuesday that its Board of Directors and shareholders have approved a 1-for-10 reverse stock split, effective August 22, 2025. According to InvestingPro data, the company’s stock has declined over 26% in the past six months.
The company’s common stock will continue trading on The Nasdaq Capital Market under the existing OESX symbol on a split-adjusted basis beginning August 22. The reverse split aims to increase the bid price of Orion’s common stock to regain compliance with Nasdaq’s minimum bid price requirement of $1.00 per share. InvestingPro analysis reveals the company faces profitability challenges, with negative EBITDA of $5.22 million in the last twelve months and an overall weak financial health score. For deeper insights into OESX’s financial health and future prospects, subscribers can access the comprehensive Pro Research Report, available exclusively on InvestingPro.
The split will reduce Orion’s outstanding common shares from approximately 35.2 million to 3.5 million, while the total authorized shares will decrease proportionally from 200 million to 20 million. No fractional shares will be issued; shareholders entitled to fractional shares will receive cash payments based on the closing price immediately prior to the split’s effectiveness.
All outstanding options, restricted stock, performance shares, and similar securities will undergo proportional adjustments. Equinity Trust Company will serve as the exchange agent for the split, providing instructions to shareholders with physical stock certificates on exchanging them for split-adjusted shares in book-entry form.
Orion Energy Systems provides energy-efficient LED lighting, electric vehicle charging stations, and maintenance service solutions. The company filed an Amendment to its Amended and Restated Articles of Incorporation with the Wisconsin Department of Financial Institutions on August 19, 2025 to effect the reverse stock split, according to the press release statement.
In other recent news, Orion Energy Systems Inc. reported its first-quarter fiscal year 2026 earnings, revealing an earnings per share (EPS) of -$0.04. This result surpassed the forecasted EPS of -$0.06, marking a 33.33% positive surprise for the company. However, despite this earnings beat, Orion Energy experienced a revenue shortfall during the same period. The company’s stock saw a significant surge in pre-market trading following the earnings announcement. No information was provided regarding any mergers or acquisitions involving Orion Energy. Additionally, there were no updates on any analyst upgrades or downgrades for the company. These developments highlight the recent financial performance of Orion Energy Systems Inc.
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