SoFi Stock Stumbles After The Close: Here's Why

SoFi Technologies Inc (NASDAQ:SOFI) shares are sliding in Thursday’s after-hours session after the company announced a public offering.

What To Know: SoFi announced plans for a $1.5 billion offering of common stock after the market close on Thursday. The digital financial services provider expects to grant the underwriter a 30-day window to buy up to an additional 15% of shares being offered.

SoFi said the net proceeds from the offering are aimed at enhancing its capital position, increasing optionality, enabling further efficiency of capital management and funding growth and business opportunities.

SoFi had approximately $3.25 billion in total cash and cash equivalents as of Sept. 30.

How To Buy SOFI Stock

By now, you’re likely curious about how to participate in the market for SoFi — 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.

SOFI Price Action: SoFi shares were down 5.74% in extended trading on Thursday, trading at $27.90 at publication time, according to Benzinga Pro.

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