New York, Jan 30, 2026, 05:38 ET — Premarket
- La Rosa Holdings shares jumped roughly 55% in early premarket action, reversing a 5.4% drop from Thursday’s close
- The stock has dropped for three consecutive sessions following the 1-for-10 reverse split implemented earlier this week
- Investors await the full-year audited results alongside the upcoming earnings date on the calendar
Shares of La Rosa Holdings Corp jumped roughly 55% to $4.63 in premarket trading Friday, rebounding after a 5.4% drop to $2.99 on Thursday. The stock had been sliding every day since Monday’s reverse split, dropping from $3.72 on Jan. 26 to $2.99 just a day before. (StockAnalysis)
Timing is crucial for traders. A reverse stock split, which merges shares to boost the per-share price, often slashes the trading float and can cause a lightly traded stock to swing wildly on modest orders.
La Rosa has been rolling out a steady stream of updates this month, covering everything from operating costs to a move into AI-related infrastructure. This combination often catches the eye of momentum traders, particularly in low-float stocks.
Last week, La Rosa announced a 1-for-10 reverse stock split set for Jan. 26, combining every 10 shares into one. This move will reduce its outstanding shares from about 5.35 million to roughly 535,000. The company said the split aims to maintain its Nasdaq listing and confirmed it has not received any minimum bid-price deficiency notice. (GlobeNewswire)
Just a day later, the company revealed preliminary unaudited fiscal 2025 revenue of around $79 million, marking an approximate 14% rise from 2024. It plans to file its full 2025 results with the annual Form 10-K. CEO Joe La Rosa noted the firm is “actively evaluating” partnerships and joint ventures to build “advanced AI computing facilities.” (GlobeNewswire)
On Monday, La Rosa announced it cut cash burn — how fast the company spends cash — by roughly 25% over the last 30 days compared to its average quarterly burn in fiscal 2025. The company attributed this to higher-margin initiatives and reduced operating costs. “The reduction in cash burn … demonstrates the progress we are making in improving capital efficiency,” CEO Joe La Rosa said. (GlobeNewswire)
That said, the premarket spike carries the usual warnings. Reverse splits don’t alter a company’s fundamentals, and early jumps in thinly traded stocks often vanish when the market opens.
The downside is clear: preliminary numbers might be revised, cost savings could fall short, and funding linked to growth strategies risks dilution if it comes through stock or equity-linked deals.
Looking ahead, the calendar sets the pace. TipRanks shows La Rosa’s next earnings report scheduled for April 22, after the market closes, though these dates often shift. Investors will also track the company’s fiscal 2025 Form 10-K filing, which should provide audited figures and refreshed cash-flow information. (TipRanks)
