Bird gets a warning from the NYSE because its stock price is too low

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Scooter and micro-mobility company Bird has to fly at a slightly higher altitude — at least if it wants to keep its New York Stock Exchange (NYSE) listing. The company issued a press release on Friday noting that it had received word from the NYSE that its share price was “not in compliance” with the exchange’s requirement that Class A Common Stock for a listed company be at least $1.00 over the course of a consecutive 30-day trading period.

Bird’s share price has followed a fairly consistent downward trajectory since its debut via a SPAC merger last November. The closing price has remained below $1 per share since around mid-May, just after when it reported its first fiscal quarterly earnings for 2022. Those results saw revenue, gorss margins and ride profit drop quarter over quarter — those ride profit grew considerably year-over-year.

The non-compliance note from NYSE doesn’t mean immediate delisting — it’s a preliminary step that gives Bird six months to get back in compliance, which means holding an average share price of at least $1 across a span of 30 consequtive trading days and also having a share value above $1 on the final trading day of that same month. To get above water, Bird says in its release that it will be considering a nubmer of options, including a reverse stock split (pending shareholder approval).

Bird’s share price closed at $0.5558 on the trading day.

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