That’s one way to get your stock up. GM (GM) whose shares trade for a little over a buck is planning a 100-1 reverse stock split. There’s a good chance it’ll never happen. It’s contingent on the bondholder’s accepting a restructuring plan, and frankly we’re not seeing much likelihood of that happening.
Actually, if it does happen, the stock will still trade around $1, because the plan calls for current shareholders to take something like a 99% dilution. So float increases 100x, you do a 100-1 reverse stock split, and voila, you’re right back to where you started.