Handling a Stock Delisting
A stock can be delisted from an exchange for a number of reasons, including voluntarily for restructuring reasons, or forced delisting for failure to file quarterly or yearly reports, passing below the minimum price per share or even below the minimum number of shareholders.
Delisting from a major exchange often means that the stock will move to one of the less regulated exchanges, the over-the-counter or pink-sheets exchange. This may involve a ticker symbol change, but the stock will still trade and StockMarketEye will usually be able to get quotes for it. On the otherhand, if the stock no longer trades on any exchange, because of Chapter 11 bankruptcy for example, the shares are generally worthless as shareholders are far down the list of those that get paid out in a bankruptcy.
Delisting Moves to Another Exchange
If the stock has been delisted and now trades on a different exchange, there are 2 possible scenarios:
- The ticker symbol for the stock did not change. In this case, you don’t need to make any changes in StockMarketEye. You may wish to verify that the ticker symbol has not changed by searching for the company in the “Symbol Search” box or on the sites of our data providers.
- The ticker symbol changed. Often when moving to a different exchange, the ticker symbol will change. In this case you can follow the steps in the section, Changing A Holding’s Ticker Symbol to update your holding in StockMarketEye in order to continue to receive updated quotes.
Shares No Longer Trade
In the case of a bankruptcy, you should sell the shares in StockMarketEye to remove the holding from your portfolio. In rare cases, you may receive some value for your shares, but generally, you do not. You should record the Sell transaction in StockMarketEye with a sale price in the amount, if any, you received for the shares. If you do not receive any amount for the shares, you should enter a share price of 0 in the sell transaction.
See the section on Removing an Asset (Sell) for infomation on selling a holding.