Cloudastructure Announces Reverse Stock Split

Cloudastructure (Nasdaq: CSAI) plans to implement a 1-for-30 reverse stock split of its Class A common stock, effective July 31, 2026, following stockholder approval.

Rhea-AI Summary

Cloudastructure (Nasdaq: CSAI) plans to implement a 1-for-30 reverse stock split of its Class A common stock, effective July 31, 2026, following stockholder approval. The shares will continue trading on the Nasdaq Capital Market under the symbol CSAI, with a new CUSIP 18912E306.

No fractional shares will be issued; any fraction will be rounded up to the nearest whole share. Proportionate adjustments will be made to shares underlying equity awards, warrants and other convertible securities, and to their exercise or conversion prices. The reverse split is intended to help regain compliance with Nasdaq’s $1.00 minimum bid price requirement.

Positive

• 1-for-30 reverse split approved, effective July 31, 2026
• Shares remain listed on Nasdaq Capital Market under symbol CSAI
• Reverse split intended to regain compliance with $1.00 minimum bid rule
• No fractional shares; fractions rounded up to nearest whole share
• Proportionate adjustments preserve economic terms of equity awards and warrants

Negative

• Reverse split undertaken to address $1.00 minimum bid price compliance
• Share count reduced by factor of 30, which may affect trading dynamics

News Explained

Stockholders have approved the planned 1-for-30 reverse split, which the company intends to effect on July 31, 2026: each 30 shares become one, reducing the share count and proportionally raising the per-share price without changing company value from the split itself. Awards and convertible securities will also be adjusted.

Argus Jul 29 session 26 alerts

-22.67% close to close 1.9x rel. volume Open Argus

Details

Market reaction after 1-for-30 reverse stock split: CSAI -22.67% in the Jul 29 session

-35.1% Trough in 34 hr 3 min

$7.35M Market Cap

In the Jul 29 session, CSAI declined 22.67%, reflecting a significant negative market reaction. Argus tracked a trough of -35.1% from its starting point during tracking. Our momentum scanner triggered 26 alerts that day, indicating elevated trading interest and price volatility. Trading volume was above average at 1.9x the daily average, suggesting increased trading activity.

Data tracked by StockTitan Argus on the day of publication.

Market Context

The stock dropped -22.7% in the session following this news. CSAI's prior Q1 earnings release was fo...

Analysis

The stock dropped -22.7% in the session following this news. CSAI's prior Q1 earnings release was followed by a -28.62% 24-hour reaction, providing a negative historical comparison for this compliance-related split. The effective S-3 shelf dated 2026-02-02 added financing context; short positioning was low.

Key Figures

Reverse split ratio: 1-for-30 Effective date: July 31, 2026 Minimum bid requirement: $1.00 +2 more

Reverse split ratio

1-for-30

Class A Common Stock

Effective date

July 31, 2026

Reverse stock split

Minimum bid requirement

$1.00

Nasdaq Listing Rule 5550(a)(2)

New CUSIP

18912E306

Post-split Class A Common Stock

Par value

$0.0001 per share

Class A Common Stock

Historical Context

5 past events · Latest: Jul 17

5 events

1. Jul 17

   Q1 earnings report

   24h Move

   -28.6%

   Revenue increased 78% year-over-year, but the stock declined 28.62%.

2. Jul 15

   Earnings call scheduling

   24h Move

   +5.7%

   Company scheduled its Q1 earnings call and the stock gained 5.7%.

3. Jul 06

   Balance sheet update

   24h Move

   +11.1%

   Company eliminated a variable conversion feature and the stock gained 11.11%.

4. Apr 30

   Customer expansion update

   24h Move

   -0.4%

   New multifamily deployments were announced, but the stock declined 0.41%.

5. Apr 14

   Deployment performance update

   24h Move

   +5.1%

   Zero cargo theft was reported over three months and shares gained 5.11%.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

reverse stock split, cusip number, exchange agent

3 terms

reverse stock split financial

"stockholders have approved, and the Company intends to effect, a reverse stock split"

A reverse stock split reduces a company's number of outstanding shares while raising the price per share proportionally, so the total value of each investor's holding is unchanged; a 1-for-10 split turns 100 shares worth $1 each into 10 shares worth $10 each. Companies often do this to regain compliance with an exchange's minimum price rule or to attract investors who avoid very low-priced stocks.

cusip number technical

"with a new CUSIP number of 18912E306"

A CUSIP number is a nine-character code that uniquely identifies a specific U.S. or Canadian stock, bond, or other security, similar to a barcode or a social-security number for a financial instrument. It matters to investors because it removes confusion between similar securities, ensures trades and settlements are applied to the correct issue, and helps locate official documents and transaction records quickly.

exchange agent financial

"is acting as exchange agent for the reverse stock split"

An exchange agent is a third party appointed to handle the practical steps when securities are being swapped, such as during mergers, tender offers, or restructurings. Think of it as a trusted post office that collects old shares, verifies ownership, completes required paperwork and regulatory filings, and delivers the new shares or cash to investors; its efficiency and accuracy affect how quickly and safely investors receive the value they're owed.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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PALO ALTO, Calif., July 28, 2026 (GLOBE NEWSWIRE) -- Cloudastructure, Inc. (Nasdaq: CSAI), a provider of AI-powered video surveillance, remote monitoring, and cloud-based security analytics, today announced that its stockholders have approved, and the Company intends to effect, a reverse stock split of its Class A Common Stock, par value $0.0001 per share (the “Common Stock”), at a ratio of 1-for-30, to become effective on July 31, 2026.

Following the reverse stock split, the Common Stock will continue to trade on the Nasdaq Capital Market under the symbol “CSAI,” with a new CUSIP number of 18912E306. No fractional shares will be issued in connection with the reverse stock split. Any fractional shares will be rounded up to the nearest whole share. Proportionate adjustments will be made to the number of shares of Common Stock issuable upon the exercise or conversion of the Company’s outstanding equity awards, warrants and other convertible securities, as well as to the applicable exercise or conversion prices.

The reverse stock split is intended to increase the per share trading price of the Common Stock in order to regain and maintain compliance with the $1.00 minimum bid price requirement for continued listing on the Nasdaq Capital Market under Nasdaq Listing Rule 5550(a)(2). The Company’s transfer agent, Transfer Online, Inc., is acting as exchange agent for the reverse stock split. Stockholders holding shares in book-entry form or through a bank, broker or other nominee are not required to take any action in connection with the reverse stock split.

About Cloudastructure

Headquartered in Palo Alto, California, Cloudastructure’s patented, advanced, award-winning security platform utilizes a scalable cloud-based architecture that features cloud video surveillance with proprietary, state-of-the-art AI/ML analytics, and a seamless remote guarding solution. The combination enables enterprise businesses to achieve proactive, end-to-end security, and pairs that platform with an attractive value proposition that eschews proprietary hardware and offers contract-free, month-to-month pricing and unlimited 24/7 support. With Cloudastructure, companies can achieve unparalleled situational awareness in real time and thereby stop crime as it is happening, while simultaneously achieving up to a 75% lower Total Cost of Ownership than other systems. For more information, visit https://www.cloudastructure.com/.

Cautionary Note Regarding Forward-Looking Statements

Certain statements in this press release may be considered forward-looking. Any forward-looking statement expressing an expectation or belief as to one or more future events is expressed in good faith and believed to be reasonable. However, these statements are not guarantees of future events and involve risks, uncertainties and other factors beyond our control including our ability to effect the reverse stock split on the expected terms and within the expected timeframe, whether the reverse stock split will have the intended effect of increasing the per share trading price of our Common Stock or enabling us to regain and maintain compliance with Nasdaq’s minimum bid price requirement, and general market and economic conditions. We caution you against relying on any of the forward-looking statements in this release, as actual outcomes and results may differ materially from what is expressed in any forward-looking statement. Except as required by applicable law, we do not intend to update any of the forward-looking statements to conform them to actual results or revised expectations.

Media Contact
Kathleen Hannon, Sr. Communications Director
Cloudastructure, Inc.
704.574.3732
Kathleen@cloudastructure.com

Investor Contact
Valter Pinto, Managing Director
KCSA Strategic Communications
212.896.1254
Cloudastructure@KCSA.com

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What is the ratio and effective date of Cloudastructure’s (CSAI) reverse stock split?

Cloudastructure is implementing a 1-for-30 reverse stock split effective July 31, 2026. According to Cloudastructure, this applies to its Class A common stock and follows prior stockholder approval of the reverse split.

Why is Cloudastructure (CSAI) doing a reverse stock split in 2026?

Cloudastructure’s reverse stock split is intended to help increase its per-share trading price. According to Cloudastructure, the goal is to regain and maintain compliance with Nasdaq’s $1.00 minimum bid price requirement under Listing Rule 5550(a)(2).

How will Cloudastructure’s 1-for-30 reverse stock split affect CSAI shareholders?

Each 30 shares of existing Cloudastructure common stock will be combined into one share. According to Cloudastructure, no fractional shares will be issued; any fractional entitlement will be rounded up to the nearest whole share for stockholders.

Will Cloudastructure (CSAI) change its Nasdaq ticker after the reverse stock split?

Cloudastructure’s common stock will continue trading on Nasdaq under the symbol CSAI after the reverse split. According to Cloudastructure, only the CUSIP number will change, to 18912E306, when the 1-for-30 split becomes effective.

What happens to Cloudastructure options and warrants after the CSAI reverse stock split?

Cloudastructure will make proportionate adjustments to equity awards, warrants and other convertible securities. According to Cloudastructure, both the number of underlying shares and the applicable exercise or conversion prices will be adjusted to reflect the 1-for-30 reverse split.

Do CSAI shareholders need to take any action for the Cloudastructure reverse stock split?

Most shareholders will not need to take any action. According to Cloudastructure, stockholders holding shares in book-entry form or through a bank, broker or other nominee are not required to act; Transfer Online serves as the exchange agent.