Aethlon Medical enacts 1-for-10 reverse stock split effective Thursday

Aethlon Medical, Inc. (NASDAQ:AEMD) implemented a 1-for-10 reverse stock split effective Thursday, according to a press release statement based on a recent SEC filing. The reverse split affects the company’s issued and outstanding shares of common stock, reducing the number of shares held by each stockholder by a factor of ten. The move comes as the company’s stock has declined nearly 90% year-to-date, with its market capitalization standing at approximately $5.2 million. According to InvestingPro data, the stock’s relative strength index suggests oversold conditions.

The company filed a Certificate of Change with the Secretary of State of Nevada on Tuesday to authorize the reverse stock split under Section 78.209 of the Nevada Revised Statutes. The split became effective at 10:00 a.m. Eastern Time on Thursday. While the company maintains a healthy current ratio of 2.49, indicating strong short-term liquidity, InvestingPro analysis reveals an overall weak financial health score of 1.59 out of 5.

Aethlon Medical’s common stock is expected to begin trading on a split-adjusted basis on The Nasdaq Capital Market when the market opens on Monday under the existing symbol "AEMD." The CUSIP number for the common stock will change to 00808Y604.

Following the reverse split, the company will be authorized to issue 6,000,000 shares of common stock, down from the previous 60,000,000. As of Thursday, there were 7,612,106 shares of common stock outstanding, which will be reduced to approximately 761,210 shares, subject to adjustment for rounding of fractional shares. Stockholders will not receive fractional shares or cash in lieu of fractional shares; instead, any fractional share resulting from the split will be rounded up to the nearest whole share.

Computershare Transfer, Inc. is serving as the transfer and exchange agent for the reverse split. Stockholders holding shares electronically or through brokerage accounts do not need to take any action, as the changes will be reflected automatically.

The reverse stock split was approved by the company’s board of directors and did not require stockholder approval under Nevada law. The number of authorized shares of preferred stock remains unchanged, and all outstanding options, warrants, and convertible securities will be adjusted accordingly. For deeper insights into Aethlon Medical’s financial health and future prospects, investors can access the comprehensive Pro Research Report, available exclusively on InvestingPro, which includes 13 additional ProTips and detailed analysis of the company’s performance metrics.

This information is based on a press release statement and details disclosed in a recent SEC filing.

In other recent news, Aethlon Medical reported early observations from its ongoing oncology clinical trial in Australia. The trial is focused on cancer patients who are not responding to anti-PD-1 therapy, with preliminary results showing decreases in extracellular vesicles and vesicles carrying PD-L1 after treatment with the Hemopurifier device. Additionally, Aethlon Medical announced a public offering to raise approximately $4.5 million by pricing 5,000,000 shares of common stock at $0.90 per share. This offering also includes warrants to purchase an additional 5,000,000 shares, expected to close soon, subject to customary conditions. During its Q1 2025 earnings call, Aethlon Medical highlighted a significant reduction in operating expenses, aligning with its strategic focus on the oncology trial in Australia. The company also emphasized advancements in its Hemopurifier technology and preclinical research in long COVID. Despite financial adjustments, Aethlon Medical remains positive about its innovation pipeline and future market opportunities.

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