Why Houston American Energy (HUSA) Stock Is Getting Hammered

Shares of Houston American Energy Corporation HUSA are plunging 31.2% to $12.76 in Tuesday morning trading after the company announced a registered direct offering.

What To Know: The energy firm disclosed it has entered into a definitive agreement with an institutional investor to sell 81,629 shares of common stock at a purchase price of $14.80 per share.

The offering is expected to generate gross proceeds of approximately $1.2 million for Houston American Energy. After deducting placement agent fees and other expenses, the company anticipates net proceeds of roughly $1 million. The funds are earmarked for general corporate purposes.

Univest Securities, LLC is acting as the sole placement agent for the transaction, which is anticipated to close on or about June 25, 2025. This move comes under a previously filed shelf registration statement that was declared effective by the U.S. Securities and Exchange Commission in November 2024.

According to data from Benzinga Pro, HUSA has a 52-week high of $32.00 and a 52-week low of $3.85.

Read Also: Houston American Energy Stock Explodes 58% Monday: What’s Going On?

How To Buy HUSA 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 Houston American Energy’s case, it is in the Energy 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.