Hitek Global (NASDAQ:HKIT) shares are trading sharply lower in after-hours trading on Tuesday.
HKIT shares fell 18.2% to $0.57 in after-hours trading after the company announced a 1-for-3 reverse stock split that will take effect on May 29.
Hitek Global is a China-based information technology consulting and solutions provider. The company offers enterprise software, IT infrastructure services and digital transformation solutions to clients across multiple industries.
Reverse Split
The company disclosed the reverse split in a Form 6-K filing with the U.S. Securities and Exchange Commission.
The company said every three Class A ordinary shares will automatically be combined into one share beginning May 29, while the stock will continue trading on the Nasdaq Capital Market under the ticker "HKIT."
The reverse split follows an earlier 1-for-50 reverse split implemented in April 2026 after shareholders authorized the board to conduct multiple reverse splits within a two-year period.
Following the latest reverse split, Hitek expects outstanding Class A shares to decline from about 2.32 million shares to roughly 774,807 shares.
The company also said the par value of each Class A ordinary share will increase from $0.005 to $0.015.
Trading Analysis
Hitek Global currently has a market capitalization of approximately $6.8 million, with a 52-week high of $209 and a low of $0.61.
The stock is down nearly 99% over the past 12 months.
Price Action: According to market data, HKIT closed Tuesday's regular trading session up 4.5% at $0.70. Shares later fell 18.2% in after-hours trading to $0.57.
Benzinga's Edge Stock Rankings indicate that HKIT shares currently maintain negative short, medium and long-term price trends.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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