Re newbie. You are correct that a lot of the time stocks trend lower after a reverse split. But we must think long term. If you want to day trade look at other names. Canalaska had 23 million shares in March. Look what a small float has done to help its run. Urre on the Nasdaq. 10 million shares. Look at the massive price spikes in the last month. With thirty million shares there will be less volume but more movement. Plus it is psychological, large floats of three or four hundred million shares are not as nice as 30 million.