America’s Car-Mart skids on stock offering

America's CAR-MART

19/09/2024 11:52

** Shares of America’s Car-Mart  CRMT.O  down 11.9% at
$44.02 premarket as co plans equity raise
    ** CRMT could open at lowest levels since Mar 2020, if
losses hold
    ** Automotive retailer late Weds announced $65 mln stock
offering with Jefferies as sole bookrunner
    ** Co intends to use net proceeds to pay down its revolver,
any remaining for general purposes
    ** Co has 6.4 mln shares outstanding for ~$320 mln market
cap
    ** On Sept 4, CRMT fell ~16% to close at $50.34 after co
posted 5% yr/yr drop in rev in fiscal Q1 to $348 mln on decrease
in units sold, and qtrly loss of 15 cents/sh vs LSEG estimate of
66 cents/sh profit
    ** Through Weds, CRMT down 34% YTD vs Nasdaq's  .IXIC  17%
advance

 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-646-279-6380))