Why Rocky Mountain Chocolate Factory (RMCF) Shares Are Skyrocketing

Rocky Mountain Chocolate Factory Inc. RMCF shares are trading higher by 13.2% to $1.72 during Tuesday’s session. The company announced a $2.2 million private placement.

The company is issuing 1.25 million shares of its common stock at $1.75 per share, which is a 15% premium over its closing stock price on August 5. The PIPE transaction is anticipated to close around August 6, provided all standard closing conditions are met.

The proceeds from this financing will be allocated towards working capital and other general corporate needs. Rocky Mountain Chocolate Factory says this move reflects the company’s strategy to bolster its financial resources for operational and strategic purposes.

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How To Buy RMCF Stock

Besides going to a brokerage platform to purchase a share – or fractional share – of stock, you can also gain access to shares either by buying an exchange traded fund (ETF) that holds the stock itself, or by allocating yourself to a strategy in your 401(k) that would seek to acquire shares in a mutual fund or other instrument.

For example, in Rocky Mountain Chocolate’s case, it is in the Consumer Staples sector. An ETF will likely hold shares in many liquid and large companies that help track that sector, allowing an investor to gain exposure to the trends within that segment.

According to data from Benzinga Pro, RMCF has a 52-week high of $5.85 and a 52-week low of $1.50.