Shares of WORK Medical Technology Group shifted sharply higher Tuesday, bouncing 8.3% to $2.09 after nine trading days of relentless selling that has cut the stock nearly in half since its reverse stock split took effect. The move looks like a dead-cat bounce — and for shareholders of this Hangzhou-based medical device maker, the math behind it is sobering.
A 1-for-100 Split Was a Last Resort to Stay Listed
WORK Medical implemented a 1-for-100 reverse stock split of its Class A and Class B ordinary shares effective at market open on June 18, 2026. The drastic ratio — one new share for every hundred old ones — was approved primarily to maintain compliance with Nasdaq's minimum bid price rule , which requires a stock to trade above $1.00. Nasdaq had already issued a delisting determination in October 2025 after WOK's shares closed at $0.10 or less for ten straight trading days. The split is financial engineering, not a business improvement — it changes the sticker price but not the company's value.
The Numbers Tell a Story of Severe Destruction
Before the split, WORK Medical had 241.6 million Class A shares outstanding; afterward, that count dropped to roughly 2.42 million.
Since its August 2024 IPO, WOK's market cap has cratered from $58 million to the low single-digit millions — recently valued at just $7.7 million on the split's first day. Trailing twelve-month revenue stands at $9.8 million with a net loss of $1.1 million and a thin 23.8% gross margin. The stock now trades below its book value at a price-to-book of just 0.42x.
A Micro-Cap With Big Ambitions but Little Credibility
WORK Medical develops and manufactures Class I and II disposable medical devices in China, with a portfolio of 23 products including masks and medical consumables. Recently, the company has issued press releases about a "BioToken" digital-asset model and a "Healthcare + Web3 + AI" strategy — buzzworthy pivots that have produced no disclosed revenue and strain credibility for a sub-$10 million enterprise.
The Compliance Clock Is Still Ticking
To fully regain Nasdaq compliance, WOK must hold a closing bid above $1.00 for at least 10 consecutive business days. At $2.09, it clears that bar — for now. But the steep post-split slide from $4.32 on day one to below $2 in under two weeks shows how quickly sellers can overwhelm a stock with a tiny float and negligible institutional ownership. One more leg down could restart the delisting threat all over again.