Sirius XM Radio Inc (SIRI), Alcatel Lucent SA (ADR) (ALU): 3 Stocks That Should Go for a Reverse Split

There are enough retail and institutional investors steering clear of stocks trading for $3-and-change that it could boost Sirius XM Radio Inc (NASDAQ:SIRI)’s profile if it did go through with a reverse.

Capstone Turbine Corporation (NASDAQ:CPST) — $1.30
Things are finally starting to happen for the microturbine maker. Revenue is growing at a healthy clip, and analysts see Capstone finally turning a quarterly profit later this year.

Capstone Turbine Corporation (NASDAQ:CPST)’s top line is growing as new orders continue to pile in, and a growing backlog of orders is a healthy indicator of strong growth in the coming quarters. Buyers are drawn to Capstone’s turbines, which run efficiently on different types of fuel.

The one thing standing in the way of Wall Street credibility is its share price, which has weaved in and out of a buck for most of the past four years.

It’s better to go with a reverse split now — when momentum is on its side, after it soared 59% since bottoming out last month — than to wait until later, when it may be a matter of meeting the exchange’s minimum listing requirement.

The article 3 Stocks That Should Go for a Reverse Split originally appeared on Fool.com and is written by Rick Munarriz.

Longtime Fool contributor Rick Munarriz owns shares of Jamba. The Motley Fool has no position in any of the stocks mentioned.

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