SXTCChina SXT Pharmaceuticals, Inc. · NASDAQ Capital Market
Effective Supply — the real overhang

From what's tradeable today to what's realistically coming. Bigger = more selling pressure ahead.

1.03M
Reported Float
32.22M
Tradeable Now
(estimated float)
▲ data says 1.03Munderstated 31.4×
34.97M
Effective Supply
34.97M
Fully Diluted
Dilution risk10/10
CONFIDENCE: MEDIUM
EXTREMEAssessed Aug 10, 2026Trigger: Reverse splitCRITICALVariable-rate convertible / death spiralCRITICALRapid share count growth / realized dilution

Every scoring component is maxed or near-maxed. (1) Convertibles/preferreds — a live $31,500,000 Smart Mart Pre-Paid Purchase priced at the LOWER of 50% of the signing-date close or 50% of the lowest close over the trailing 180 trading days, with the floor already blown through (post-split floor $16.00 vs a $3.59 market price), meaning the effective conversion rate is unbounded in practice; 157,500,000 pre-split shares are already registered for resale and the realized issuance history proves floors get reset rather than honored. (2) Warrant overhang — 4,500,000 Ordinary Warrants with a zero-price exercise formula that pays the company NOTHING and currently delivers the maximum 14x multiplier (787,500 post-split shares), plus a proven precedent: the May 2, 2026 warrants converted 3,500,000 into 31,500,000 shares on a cashless basis (9:1). (3) Recent activity — six financings in seven months (Jan RD, Apr RD at $0.38, May PIPE at $1.00, Jun $100M ATM, Jul $9M RD, Jul $31.5M Smart Mart) with roughly 2.53 billion pre-split shares actually issued between July 24 and August 10 alone. (4) Historical pattern — SIX reverse splits since 2021 for a cumulative 1-for-192,000,000, including 1-for-150 on 2026-02-03 and 1-for-80 today, the signature of a company recycling float through repeated toxic-conversion cycles. On top of all of it sits an untouched $100,000,000 ATM against a $117,000,000 market cap and roughly $580,000,000 of remaining shelf capacity.

Share Structure

Float to Fully Diluted Breakdown

LIKELY STALE

Reported float from Insight Sentry (as-of date UNKNOWN). Adjusted based on SEC filing analysis.

Float Discrepancy: our SEC analysis shows 32.22M vs 1.03M reported — understated 31.4×

Insight Sentry reports float 25,002,631 but outstanding 2,577,446,220 — internally inconsistent: the float field appears split-adjusted for the 2026-08-10 1-for-80 reverse split while the outstanding field does not. Price × reported outstanding = $9.25 billion vs a reported market cap of $117.3 million, confirming the outstanding field is stale/pre-split. Our float sits ~29% above the reported fig...

Reported Float1.03M2.9%
Float Adjustments7.22M20.6%
0 shares

SANITY CHECK PASSED: reported float 25,002,631 is on the POST-1-for-80-split scale (77.6% of derived post-split outstanding of 32,218,078). It is NOT pre-split — a pre-split reading would imply a 1% float, impossible given the company states 100% of Class A is non-affiliate held. No split re-scaling applied.

Source: Insight Sentry MARKET_DATA vs 424B5 filed 2026-07-24

+7.22M sharesMEDIUM

True-up to full non-affiliate share count: issuer states ALL Class A Ordinary Shares are held by non-affiliates (only 4 Class B shares are insider-held). Data-service float lags the July–August issuance wave (Smart Mart Pre-Paid Purchase deliveries and zero-price Ordinary Warrant exercises). Adding the gap between reported float and derived outstanding.

Source: 424B5 filed 2026-07-24 ('shares held by non-affiliates' = 38,218,077 = 100% of Class A) + Insight Sentry outstanding ÷ 80

Convertible Notes1.97M5.6%
Pre-Paid Purchases under Securities Purchase Agreement dated 2026-07-03 with Smart Mart Limited (equity-line-style prepaid forward, Reg D unregistered issuance with resale registration)
Conv. Price: floating_discount
Est. Shares: ~1.97M (agent-computed)
Warrants793K2.3%
common788K shares at $256
pre-funded6K shares at $1800
common0 shares
≈ Estimated Actual Float

Reported float + filing adjustments

32.22M

MEDIUM confidence

Pending Shares as % of Float8.6%

Registered and convertible shares that could enter the float relative to current float size.

Fully Diluted34.97M100%

Share estimates are approximate. Convertible share counts based on current price. Review SEC filings for exact terms.

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Dilution profile
Reverse splits (6)
  • 1-for-80·Aug 10, 2026~1 mo ago
  • 1-for-150·Feb 3, 2026~7 mo ago
  • 1-for-8·Feb 25, 2025~2 yr ago
  • 1-for-25·Oct 5, 2023~3 yr ago
  • 1-for-20·May 19, 2022~4 yr ago
  • 1-for-4·Feb 22, 2021~6 yr ago
Active mechanisms
  • Smart Mart Limited $31,500,000 Pre-Paid Purchase — variable conversion at 50% of the lowest close over 180 trading days, $0.20 pre-split floor, 9.99% ownership cap (rolling, so the cap throttles pace but not total)
  • Ordinary Warrants (2026-07-23) — zero-price exercise formula keyed to the lowest 10-day VWAP; up to 63,000,000 pre-split / 787,500 post-split shares issued for NO cash proceeds
  • $100,000,000 ATM with Univest Securities — fully undrawn as of 2026-06-01, terminable on 15 days' notice, capacity ≈ 85% of current market cap
  • F-3 shelf 333-291428 — approx. $580,000,000 of remaining capacity; no longer baby-shelf limited (non-affiliate value $102.4M as of 2026-07-22 exceeded $75M)
  • F-3 resale registration for 157,500,000 Smart Mart shares (pending effectiveness)
  • Recurring reverse splits that reset the share count and enable the next issuance cycle

Market Data

Price

$2.56

Market Cap

$3.38M

Outstanding

1.32M

Float

1.03M

Avg Volume

1.50M

Exchange: NASDAQ|Source: Insight Sentry