Hawaiian Electric Industries (NYSE:HE) stock is decreasing on Friday after the company provided investors with an update after the Maui wildfires.
According to a press release from the company, it’s taking certain actions in response to the wildfire. Unfortunately, some of this news isn’t being well received by investors, which explains the drop in HE stock today.
The first has HEI withdrawing $170 million and Hawaiian Electric withdrawing $200 million from their revolving credit facilities. The company is doing so to invest the cash proceeds in highly liquid short-term investments. This is part of its plan to strengthen its balance sheet and improve liquidity.
To go along with this, Hawaiian Electric Industries announced that it is suspending its quarterly cash dividend. This is another move to ensure its long-term success. However, it will still pay the required September dividend to shareholders.
How This Affects HE Stock On Friday
Following these announcements, shares of HE stock are seeing strong trading early on Friday morning. As of this writing, close to 1.5 million shares of the company’s stock have been traded. That’s a decent amount of movement before markets open considering its daily average trading volume is around 3.9 million shares.
HE stock is down 22.9% as of Friday morning and is down 71.7% since the start of the year as of Thursday’s close.
Investors looking for even more of the most recent stock market news today are in the right place!
We have all of the biggest stock market stories that traders need to know about on Friday! That includes what’s happening with shares of Domo (NASDAQ:DOMO) stock, Better Home & Finance (NASDAQ:BETR) stock, and YS Biopharma (NASDAQ:YS) stock today. You can read up on all of these matters at the links below!
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On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
