Delisting Risk Methodology

12-factor composite that flags TSXV / NASDAQ tickers at heightened delisting risk

Why it matters

Every year, hundreds of micro-cap tickers get involuntarily delisted from TSX-V and NASDAQ. The resulting price drop is brutal — typically 60-90% in the days following the delisting notice. Quintarth's Delisting Risk score gives you a 0-100 leading indicator built from 12 public signals.

The 12 factors

#SignalThresholdWeight
1Bid price below $0.10 (TSX-V) or $1.00 (NASDAQ)30 consecutive days15%
2Market cap below CAD $2M (TSX-V) / USD $35M (NASDAQ Capital Markets)30 consecutive days15%
3Public float below required minimum10%
4Stockholder equity deficit10%
5Going-concern qualification on most recent audit1× confirms10%
6Late or missing periodic filings1× missed deadline10%
7NOSE letter (Notice of Suspension by Exchange) issued1× issued10%
8Share-price 90d downtrend velocity5%
9Volume collapse (90d avg vs prior 90d)5%
10Recent reverse split (often a delisting precursor)1× within 12 months5%
11Negative working capital trend3 consecutive quarters3%
12Going-private rumour news flow2%

Sources

NASDAQ Listing Rule 5550, TSX-V Policy 2.5, going-concern flags from EDGAR 10-K Item 9 / SEDAR+ AIF. Form 4 + SEDI for trading patterns. Free public data, no third-party feeds.