Nasdaq enforces continued listing standards under Rule 5550 (Capital Market) and Rule 5450 (Global / Global Select). Three rules drive almost every small-cap delisting headline.
Minimum bid: $1.00
Close below $1.00 for 30 consecutive trading days → deficiency notice. 180 calendar days to cure by closing ≥ $1.00 for 10 consecutive sessions. A second 180-day extension is often granted if the company meets other criteria and commits to a reverse split.
Cure mechanism: reverse split. Almost always.
Minimum stockholders' equity
Capital Market tier requires $2.5M in stockholders' equity (or $35M market value, or $500K net income). Falling below triggers a 45-day window to submit a compliance plan and up to 180 days to execute.
Cure mechanism: raise equity (more dilution) or convert debt to equity (also dilution).
Minimum market value of listed securities (MVLS)
Some tiers require $35M+ MVLS. Sustained breach triggers a 180-day cure to get back above the threshold for 10 consecutive days.
Cure mechanism: stock has to rally. Hard to engineer, easy to fail.
Hearings and appeals
If a company fails to cure, it can request a Hearings Panel review, which can grant up to 180 more days. During the appeal the stock keeps trading. Most companies that need a panel review end up delisting to the OTC anyway.
Trading the noncompliance cycle
Initial notice → small dip. Compliance plan filed → stabilization. Reverse split approval at annual meeting → temporary rip on 'cure imminent' narrative. Post-split → drift lower into the next financing. Track each step on Stocks Leak's filings feed.