Why Did Universe Pharmaceuticals Inc. (UPC) Plunge 15.46% Amid Reverse Split?

On April 22, 2025, Universe Pharmaceuticals Inc. Ordinary Shares (UPC) experienced a significant drop of 15.46% in pre-market trading, indicating a substantial decline in investor confidence.

Universe Pharmaceuticals Inc. (UPC) has recently undergone a 1 for 40 reverse stock split, which means shareholders now hold 1 share for every 40 shares they previously owned. This corporate action is likely to have contributed to the recent volatility in the stock price, as such splits often lead to increased share prices and reduced liquidity.

During Monday's after-market session, Universe Pharmaceuticals (UPC) shares declined by 15.7% to $3.49. This decline is part of a broader trend of after-hours losses, with the stock price seeing a decrease of 19.08% to $3.35 during Monday's after-hours session. These after-market movements suggest that investors are reacting negatively to recent developments or announcements related to the company.