TBLT - Why Is ToughBuilt (TBLT) Stock Down 50% Today?
InvestorPlace - Stock Market News, Stock Advice & Trading Tips
ToughBuilt (NASDAQ:TBLT) stock is falling on Friday following the tool company revealing a proposed public stock offering.
That proposed public stock offering is priced at $6 million. It includes 3,157,895 shares of TBLT stock and prices them at $1.90 each. Included with each share purchase is a warrant exercisable for the same $1.90 price.
It’s easy to understand why investors aren’t happy about the public stock offering. First off, any public stock offering is going to dilute a shareholder’s stake in a company. Secondly, they often value the shares below their current trading value.
That’s what’s happening to TBLT stock today with the $1.90 price for shares in the public offering. That’s well below the stock’s closing price of $3.05 per share on Thursday. As such, traders are selling off shares, which has dropped TBLT down to about $1.52 as of this writing.
With investors selling their shares of TBLT stock today comes heavy trading. As of this writing, some 5 million shares of the stock have changed hands. That’s well above the company’s daily average trading volume of about 186,000 shares.
TBLT stock is down 50.2% as of Friday morning and is down 97.4% since the start of the year.
Investors searching for more of the latest stock market news are in luck!
We’ve got it all collected together in one place for traders! That includes the deal that has Roku (NASDAQ:ROKU) heading higher today, companies laying off employees this week, and what has Chinese stocks on the rise! You can catch up on all of this news at the links below!
More Friday Stock Market News
- ROKU Stock Gains on New Walmart Deal
- Layoffs 2022: 7 Companies Making Major Job Cuts This Week
- Chinese Stocks BABA, JD, PDD, NIO, BIDU Gain on Ant Group Revival
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
With only the rarest exceptions, InvestorPlace does not publish commentary about companies that have a market cap of less than $100 million or trade less than 100,000 shares each day. That’s because these “penny stocks” are frequently the playground for scam artists and market manipulators. If we ever do publish commentary on a low-volume stock that may be affected by our commentary, we demand that? InvestorPlace.com’s writers disclose this fact and warn readers of the risks.
Read More:?Penny Stocks — How to Profit Without Getting Scammed
More From InvestorPlace
- $200 Oil Sooner Than You Think – Buy This Now
- Stock Prodigy Who Found NIO at $2… Says Buy THIS
- Early Bitcoin Millionaire Reveals His Next Big Crypto Trade “On Air”
- It doesn’t matter if you have $500 in savings or $5 million. Do this now.
The post Why Is ToughBuilt (TBLT) Stock Down 50% Today? appeared first on InvestorPlace.