LightPath Technologies Stock Tumbles After The Close: Here's Why

LightPath Technologies Inc (NASDAQ:LPTH) shares are tumbling in extended trading Thursday after the company announced a proposed offering.

• LightPath Technologies shares are retreating from recent levels. What’s pressuring LPTH stock?

What To Know: After the market close on Thursday, LightPath said it commenced an underwritten public offering of common stock. The size of the offering was not disclosed, but the company said it plans to grant underwriters a 30-day window to buy up to an additional 15% of shares being offered.

LightPath expects to use the net proceeds from the proposed offering for working capital, investments and acquisitions, as well as for general corporate purposes.

LightPath had approximately $11.51 million in total cash and cash equivalents as of Sept. 30. The company filed for a mixed shelf offering of up to $200 million in November, per Benzinga Pro.

How To Buy LPTH Stock

By now, you're likely curious about how to participate in the market for LightPath Technologies — 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.

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 from the share price decline.

LPTH Price Action: LightPath shares were down 7.89% in after-hours, trading at $8.40 at the time of publication on Thursday, according to Benzinga Pro.

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