Why Absci (ABSI) Shares Are Falling

Absci Corp ABSI shares are trading lower by 9.4% to $4.46 Wednesday afternoon after the company announced an offering of 16.7 million shares at $4.50 per share.

The underwriters have an option to purchase an additional 2.505 million shares. The gross proceeds from the offering are expected to be approximately $75.2 million. Absci plans to utilize the net proceeds for the development of its internal asset programs, investment in its Integrated Drug Creation™ platform, including AI and wet-lab technologies and for general corporate purposes.

Morgan Stanley and TD Cowen are serving as joint book-running managers for the offering, which is anticipated to close around March 1, subject to customary closing conditions.

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Is ABSI A Good Stock To Buy?

An investor can make a few decisions when deciding whether a stock is a good buy. In addition to valuation metrics and price action which you can find on Benzinga's quote pages – like Absci‘s page for example – there are factors like whether or not a company pays a dividend or buys a large portion of its stock each quarter.

These are known as capital allocation programs. Absci does not pay a dividend, but obviously has a few ways it can return value to shareholders. Feel free to search Benzinga's dividend calendar for the next company that is due to pay a dividend and determine what kind of yield you can earn for holding a share of the company.

For example, if you're looking to earn an annualized return of 11.39%, you'll need to buy a share of Fiera Cap by the Mar. 13, 2024. Once done, you can expect to receive a nominal payout of $0.21 on Apr. 11, 2024.

Buyback programs are obviously different and highly variable. A company can approve a buyback program and purchase shares as it sees fit over the course of time in which the buyback was authorized. Looking through the latest news on Absci will often yield whether or not the company has approved a buyback program recently. Buyback programs usually serve as a support for share prices, serving as a backstop for demand.

According to data from Benzinga Pro, ABSI has a 52-week high of $5.47 and a 52-week low of $1.11.