CaliberCos Inc., a real estate company, has received an additional 180 days to comply with Nasdaq's minimum bid price requirement, according to a recent SEC filing. The Delaware-incorporated company, trading under the symbol NASDAQ:CWD, was initially notified on May 14, 2024, that its common stock had fallen below the $1.00 minimum bid per share for 30 consecutive business days, which is necessary to maintain its listing on the Nasdaq Stock Market LLC.
The company was initially given until November 11, 2024, to regain compliance but failed to meet the requirement within this timeframe. On November 12, 2024, Nasdaq granted CaliberCos Inc. a second 180-day extension period to rectify the bid price deficiency. The company now has until May 12, 2025, to ensure the closing bid price of its common stock is at or above $1.00 for at least ten consecutive business days.
If CaliberCos Inc. is unable to achieve compliance by the new deadline, it risks receiving a delisting notification from Nasdaq. The company would then have the opportunity to appeal the decision to a hearings panel as per Nasdaq's listing rules. However, there is no guarantee that an appeal would be successful.
In the meantime, the company's stock will continue to be listed and traded on The Nasdaq Capital Market. CaliberCos Inc. has stated its intention to actively monitor its stock bid price and is considering all available options, including the possibility of a reverse stock split, to regain compliance with Nasdaq's listing standards.
InvestingPro Insights
CaliberCos Inc.'s struggle to meet Nasdaq's minimum bid price requirement is reflected in its recent financial performance and market valuation. According to InvestingPro data, the company's market capitalization stands at a modest $11.03 million, with its stock price closing at $0.50 in the most recent session. This represents only 33.1% of its 52-week high, underscoring the significant downward pressure on the stock.
InvestingPro Tips highlight that CaliberCos is "quickly burning through cash" and "suffers from weak gross profit margins." These factors likely contribute to the company's challenges in maintaining its stock price. The company's revenue for the last twelve months as of Q3 2024 was $66.38 million, with a concerning revenue growth decline of -24.96% over the same period.
Investors considering CaliberCos should note that InvestingPro offers 15 additional tips for this stock, providing a more comprehensive analysis of its financial health and market position. These insights could be particularly valuable as the company navigates its compliance challenges with Nasdaq.
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