ArcelorMittal up 200% !

Hi, thought I would start a new thread on this, hope you can see the chart clearly.

I was actually long on this a few days before. Has anyone seen a major share like this triple like this before? Anyone know why this happened? As I understand the earnings report was days before.

Nothing much in the news. Not even on the company's twitter.
And yet it's a remarkable move, don't you think?

Probably just a reverse stock split

I'm not seeing what you are seeing...I suspect a reverse split as well. For the ArcelorMittal listed on the NYSE (symbol MT) it appears business as usual...



Really this is not all that uncommon...every day there are stocks that are up or down over 25%. Triple digits are a bit more rare, but just two days ago I noticed GLYC up in the triple digits on the day. A good chunk of the move happened intraday also. Was up double digits the following day.

Hi guys, thanks for the replys.
You should be able to see the same chart a me - its ArcelorMittal (NL)
My chart is from ProRealTime, on some charts it seems to just show as a jump.

Anyway, I can see how a share could be worth a few pence, increase a few pence and consequencely
double. but this one increased from 764 to 2015.

Not being an expert, I looked up a reverse stock split, and yes I can see how this is likely the cause.

So if we were spread betting, we would enjoy a huge gain, yes?
If we actually owned shares, would they we worth 3 times more, even though the company is worth the same amount of money? I'm sorry I don't quite see how it works.
And more to the point, is there any way of knowing that a reverse stock split is going to happen before the event?

Regards
Dave

daveylibra said:

So if we were spread betting, we would enjoy a huge gain, yes?

Click to expand...

Err... No

http://corporate.arcelormittal.com/news-and-media/press-releases/2017/may/11-05-2017

Hi cbrads

Thanks for the link, that's what I was looking for. But I still don't get it. (Sorry but as I say I'm not an expert, I'm just trying out a few spread bets on IG.)
If we held shares in this company, then after the reverse split we would have less shares of higher value = same total value as before. Ok I get that.
But suppose I had a spread bet on ArcelorMittal (NL) at +£1 a point @ 665 with IG. The next day the chart shows them @ 1980. What would my running profit/loss have shown as?

IG will do a simple calculation to ensure the position's running P/L is unaffected

OK, but I must add that I get alerts on my mobile from IG (don't really want them, but when I set up an app so I could look at my open positions, in the morning I often get "company x up 5%" or whatever.)
On that morning it said "ArcelorMittal up 197%"
Anyway I guess I could ask IG themselves, they are always helpful.

daveylibra said:

OK, but I must add that I get alerts on my mobile from IG (don't really want them, but when I set up an app so I could look at my open positions, in the morning I often get "company x up 5%" or whatever.)
On that morning it said "ArcelorMittal up 197%"
Anyway I guess I could ask IG themselves, they are always helpful.

Click to expand...

Yes, the price did go up 197% but the reverse split meant that the value of shareholdings remained unchanged. As cbrads said, IG would have made an adjustment to your balance so that the profit or loss on any open position you had remained unchanged.