Innovative Eyewear Inc (NASDAQ:LUCY) shares are trading lower by 19% to $0.195 during Tuesday's session, potentially on downward momentum, after the company on Monday announced it has finalized a deal to sell 4,200,822 shares of its common stock at $0.244 per share in a registered direct offering under Nasdaq rules.
Concurrently, the company will issue unregistered warrants for the purchase of up to the same number of shares at the same price. These warrants will become exercisable upon stockholder approval and will expire in five years. The offering is expected to close around May 1, pending standard closing conditions.
The gross proceeds from the offering are estimated to be about $1.025 million, which will be used for working capital and general corporate purposes after deducting placement agent fees and other expenses.
Should I Sell My LUCY Stock?
When deciding to hold on to or sell a stock, investors should consider their time horizon, unrealized gains and total return.
Shares of Innovative Eyewear have decreased by 91.23% in the past year. An investor who bought shares of Innovative Eyewear at the beginning of the year would take a loss of $0.24 per share if they sold it today. The stock has fallen 31.31% over the past month, meaning an investor who bought shares on Mar. 1 would see a capital loss of $0.17.
Innovative Eyewear shares have an all-time high of $5.89, representing 2708.79% upside from current levels.
Investors may also consider market dynamics. The Relative Strength Index can be used to indicate whether a stock is overbought or oversold. Innovative Eyewear stock currently has an RSI of 42.52, indicating neutral conditions.
For access to advanced charting and analysis tools and stock data, check out Benzinga PRO. Try it for free.
LUCY has a 52-week high of $3.13 and a 52-week low of $0.18.