The company has fully utilized its prior ATM capacity and is now seeking $2.0M more, with the stock down 49% since the prior filing. Monitor for further ATM increases or alternative financing announcements, as the rapid share issuance suggests ongoing cash burn. The stock price decline indicates the market is pricing in continued dilution risk.
Price Chart
Executive Summary
Sky Quarry Inc. filed a 424B5 prospectus supplement to increase its ATM offering capacity from $12.6M to $14.6M, adding $2.0M in new shares available for sale. The company has already sold the full $12.6M under the prior ATM program, and the stock price has declined from $5.64 (July 23, 2026) to $2.89 (September 17, 2026), a 49% drop, indicating persistent selling pressure. This filing signals ongoing capital needs and potential further dilution.
Key Facts
- ATM offering capacity increased from $12.6M to $14.6M, with $2.0M in new shares available for sale
- Company has already sold approximately $12.6M of shares under the prior ATM program, exhausting that capacity
- Stock price declined from $5.64 (July 23, 2026) to $2.89 (September 17, 2026), a 49% drop
- Public float was approximately $47.96M based on 8,504,192 non-affiliate shares at $5.64 per share
- Total ATM sales in the prior 12 months: ~$12.6M through Siebert + ~$1.34M through Cantor = ~$13.94M
- Form S-3 I.B.6 limitation caps primary sales at one-third of public float (~$15.99M) in any 12-month period
Financial Impact
Up to $2.0M in additional common stock sales at current depressed price (~$2.89), representing approximately 692,000 new shares (4.2% dilution based on 16.5M shares outstanding estimated). Total ATM program now $14.6M.
Risk Factors
- Continued dilution from ATM sales at declining prices
- Potential inability to raise further capital if stock price continues to fall
- Risk of breaching Nasdaq minimum bid price requirements if selling pressure persists
- High cash burn rate implied by repeated ATM usage
Investment Themes
Documents Analyzed
This report is based on 4 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 424B5 Filing (Primary) | 0001096906-26-001387 |
| Document: 0001096906-26-001387-index-headers.html | 0001096906-26-001387 |
| Document: 0001096906-26-001387-index.html | 0001096906-26-001387 |
| Document: 0001096906-26-001387.txt | 0001096906-26-001387 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 23, 2026 3d ago | DEFA14A | $2.20 | awaiting T+1 | — | $2.16 (−1.82%) |
Oct 23, 2026 3d ago | DEF 14A | $2.18 | awaiting T+1 | — | $2.16 (−0.87%) |
Oct 8, 2026 18d ago | 8-K | $2.45 $2.33 | ▲ +4.90% | ▲ +4.84% | $2.16 (+11.84%) |
Sep 24, 2026 4w ago | 8-K | $2.91 $2.67 | ▼ −8.25% | ▼ −8.79% | $2.16 (−25.77%) |
Sep 18, 2026 5w ago | 424B5 | $2.67 $2.60 | ▲ +2.62% | ▲ +2.61% | $2.16 (+19.10%) |
Sep 4, 2026 7w ago | DEFA14A | $2.66 $2.67 | ▲ +0.38% | ▲ +0.84% | $2.16 (−18.80%) |
Aug 21, 2026 9w ago | 8-K | $2.75 $2.68 | ▼ −2.55% | ▼ −2.25% | $2.16 (−21.45%) |
Jul 21, 2026 13w ago | 8-K | $4.13 $5.64 | ▲ +36.56% | ▲ +37.80% | $2.16 (−47.70%) |
Jul 2, 2026 16w ago | 8-K | $2.64 $2.12 | ▲ +19.70% | ▲ +20.57% | $2.16 (+18.18%) |
Apr 22, 2026 26w ago | 424B5 | $7.06 $6.00 | ▲ +15.01% | ▲ +15.80% | $2.16 (+69.41%) |
US Market Status
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