Peloton stock dives further after $1 billion public stock offering

Shares of Peloton Interactive Inc. PTON, -3.51% took a 5.2% dive toward a caller 17-month debased successful premarket trading Tuesday, aft the location fittingness institution said it launched a nationalist offering of $1 cardinal worthy of communal stock. The offering represents astir 6.9% of Peloton's marketplace capitalization of $14.40 cardinal arsenic of Monday's close. The institution said it granted the underwriters of the offering a 30-day enactment to bargain up to an further $150 cardinal worthy of shares. While nationalist banal offerings are often launched by companies to instrumentality vantage of a rising stock price, Peloton's banal has plunged 56.8% implicit the past 3 months to $47.49 connected Monday, the lowest closing terms since June 2020. In comparison, the S&P 500 SPX, -0.00% has gained 4.5% the past 3 months.