Sharps Technology reports post-split share count

Melville, New York-based Sharps Technology Inc. (NASDAQ:STSS), a manufacturer of medical instruments, announced today that following a reverse stock split, the total number of outstanding common shares is now 1,019,078 as of the close of business on May 7, 2025. This corporate action was disclosed in a Form 8-K filing with the Securities and Exchange Commission. The announcement comes as the company’s stock has experienced significant volatility, with InvestingPro data showing a 99.7% decline over the past year and a current market capitalization of just $260,000.

The reverse stock split is a financial maneuver often undertaken by companies to adjust the number of their outstanding shares and typically to increase the market price of the remaining shares. This can be a strategic move to meet listing requirements of stock exchanges or to appeal to a different set of investors. According to InvestingPro metrics, the company faces significant financial challenges, with a concerning debt-to-equity ratio of 1.89 and a current ratio of 0.61, indicating potential liquidity issues.

The company, incorporated in Nevada and with fiscal year-end on December 31, has its common stock and common stock purchase warrants listed on the NASDAQ Capital Market under the trading symbols "STSS" and "STSSW," respectively.

Sharps Technology, with its headquarters located at 105 Maxess Road, Suite 124, Melville, NY 11747, operates in the surgical and medical instruments and apparatus sector under the Standard Industrial Classification (SIC) code 3841.

The press release statement did not provide further details on the rationale behind the reverse stock split or any forward-looking statements regarding the company’s financial health or market position. Instead, it focused solely on the factual information related to the current number of shares outstanding.

Investors and market watchers often look at reverse stock splits as a signal of a company’s future intentions or current performance. While the implications of this action for Sharps Technology remain speculative, InvestingPro analysis reveals concerning fundamentals, including negative EBITDA of -$8.85M and a weak overall financial health score. With the next earnings report due in 8 days, subscribers to InvestingPro can access 14 additional key insights and detailed financial metrics to make more informed investment decisions.

This news is based on the latest SEC filing by Sharps Technology Inc. and does not include any subjective analysis or predictions.

In other recent news, Sharps Technology Inc. announced the completion of a 1-for-300 reverse stock split, consolidating existing shares without affecting the market capitalization. This move is often used to meet stock exchange listing requirements or improve stock liquidity. Additionally, Sharps Technology regained compliance with Nasdaq listing rules after adopting an executive compensation recovery policy, resolving a previous non-compliance issue. The company also reported a significant exercise of its Series B Warrants, with 97% exercised on a cashless basis, indicating strong interest from warrant holders. However, Sharps Technology faces a potential Nasdaq delisting due to a shortfall in stockholders’ equity, with a hearing process currently underway to address this issue. The company secured stockholder approval for warrant issuance at a reduced floor price, enhancing financial flexibility and aligning with Nasdaq requirements. This decision follows a special stockholder meeting and is part of efforts to strengthen the company’s capital structure. Investors and analysts are closely monitoring these developments, which reflect the company’s ongoing strategic initiatives.

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