Archos (EPA: ALJXR) (OTC: ACOSF) shares should rise 40,000% today. This 400x rise in ALJXR should not be taken as an indication that the company is about to return to the glory days. There was a time when this share price was up at €600,000 and more. Yes, 600,000 euro at one point, including the effects of share consolidations over the years.
The business line is: “Archos S.A. manufactures and sells consumer electronics. The company offers tablets, smartphones, connected objects, electrical vehicles, and cryptocurrency hardware wallets, as well as customized products and engineering services. Its products have entertainment/content protection, home automation, navigation, energy monitoring, education, digital signage, automotive, and audio and video guide applications, as well as in the vertical markets, including professional and medical markets” Or as another quote has it: “Archos is a French multinational electronics company that was established in 1988 by Henri Crohas. Archos manufactures tablets, smartphones, portable media players and portable data storage devices.”
As yet another puts it, Archos had the opportunity to be the Apple of France and didn’t take it.
Archos share price from Google Finance
As is obvious the current share price is piffle. The market capitalisation is around $250k. Yes, that’s k, not million.
So, what’s happening here is that 400 old shares will be swapped for one new one. Which will raise that share price to, ooh, €1,20. Which, we’re sure all will agree will make a great deal of difference. The market capitalisation will be still around the €250k mark, it still won’t be the Apple of France and we’ll have to adjust that share price peak as well.
The new comparison will then be that peak Archos share price, adjusted for share splits, was €240 million (yes, million) a share as opposed to the current €1,20. We’re sure that will be a great comfort to everyone.