American Water Works stock falls after pricing 7 million share offering Investing.com -- American Water Works (NYSE:AWK) stock dropped 3.9% after the company announced the pricing of an underwritten offering of 7,042,254 shares of common stock at $142.00 per share. The water utility services provider said the shares are expected to be borrowed by forward purchasers from third parties and sold to underwriters as part of forward sale agreements. Wells Fargo Securities, J.P. Morgan, and Mizuho are acting as joint book-running managers for the offering. American Water Works will not receive any proceeds from the sale of the common stock sold by the forward purchasers to the underwriters. The company entered into forward sale agreements with Wells Fargo Bank, JPMorgan Chase (NYSE:JPM) Bank, and Mizuho Markets Americas, with settlement expected on or before December 31, 2026. The offering, which includes a 30-day option for underwriters to purchase up to an additional 1,056,338 shares, is expected to close on August 6, 2025. When settlement occurs, American Water Works plans to use any net cash proceeds for general corporate purposes. The company noted that the offering is being made pursuant to its effective shelf registration statement filed with the Securities and Exchange Commission. This article was generated with the support of AI and reviewed by an editor. For more information see our T&C. ProPicks AI are 6 model portfolios created by Investing.com which identify the best stocks for investors to buy now. The stocks that made the cut could produce monster returns in the coming years. Is AWK one of them?

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Red Cat stock tumbles after announcing share offering Investing.com -- Red Cat Holdings Inc (NASDAQ:RCAT) shares fell 18.4% after the drone technology company announced a registered direct offering of common stock expected to raise approximately $46.75 million in gross proceeds. The company said it has entered into securities purchase agreements with certain institutional investors for the sale of 6,448,276 shares of common stock. The offering is expected to close on or about June 18, 2025, subject to customary closing conditions. Red Cat intends to use the net proceeds from the offering for general corporate and working capital purposes, including operating expenditures related to its new unmanned surface vessel division. Northland Capital Markets is acting as the exclusive placement agent for the transaction, according to the company’s statement. Red Cat Holdings integrates robotic hardware and software for military, government, and commercial operations. The share offering represents a significant capital raise for the company as it continues to develop its drone technology business and expand into new areas such as unmanned surface vessels. The sharp decline in share price following the announcement reflects typical market reaction to equity offerings, which can dilute existing shareholders’ ownership stakes. This article was generated with the support of AI and reviewed by an editor. For more information see our T&C. Is RCAT truely undervalued? With RCAT making headlines, investors are asking: Is it truly valued fairly? InvestingPro's advanced AI algorithms have analyzed RCAT alongside thousands of other stocks to uncover hidden gems with massive upside. And guess what? RCAT wasn't at the top of the list.

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