Why Sidus Space (SIDU) Stock Hit A New 52-Week Low Today

Shares of Sidus Space Inc SIDU are trading sharply lower Monday morning after the space and defense technology firm announced a public offering. The company is set to raise approximately $9.8 million in gross proceeds by selling 9.8 million shares of its Class A common stock at a price of $1.00 per share.

Why It Matters: Such offerings can dilute the value for existing shareholders, often leading to a drop in the stock price. Sidus says the company intends to use the net proceeds from the sale for working capital and general corporate purposes.

The offering is being managed by ThinkEquity as the sole placement agent and is expected to close on or about September 16, subject to customary closing conditions.

Benzinga Edge Rankings: Amid the negative reaction to the offering, Benzinga Edge rankings show the stock has a weak Momentum score of 6.94.

Price Action: According to data from Benzinga Pro, SIDU shares are trading lower by 28% to 95 cents. The stock has a 52-week high of $7.65 and a 52-week low of $0.97.

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How To Buy SIDU Stock

By now you're likely curious about how to participate in the market for Sidus Space – be it to purchase shares, or even attempt to bet against the company.

Buying shares is typically done through a brokerage account. You can find a list of possible trading platforms here. Many will allow you to buy “fractional shares,” which allows you to own portions of stock without buying an entire share.

In the case of Sidus Space, which is trading at $0.95 as of publishing time, $100 would buy you 105.26 shares of stock.

If you're looking to bet against a company, the process is more complex. You'll need access to an options trading platform, or a broker who will allow you to “go short” a share of stock by lending you the shares to sell. The process of shorting a stock can be found at this resource. Otherwise, if your broker allows you to trade options, you can either buy a put option, or sell a call option at a strike price above where shares are currently trading – either way it allows you to profit off of the share price decline.

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