The reverse stock split is a strategic move by AERWINS Technologies to increase its stock price per share, thereby aiming to comply with Nasdaq's minimum bid price requirement. This action is likely to have a positive short-term impact on the stock price as it adjusts to reflect the reduced number of shares available, although it does not fundamentally alter the company's valuation. Investors should note that while reverse splits are often seen as measures to maintain stock listings, they can also lead to increased volatility.