Lyft Inc. shares tumbled more than 11% Monday, dropping below their IPO price of $72 in a rough second day of trading for the San Francisco ride-hailing firm.
Lyft’s IPO is viewed as a litmus test for the larger tech IPO market. The company is one of the first major companies to go public this year, and rival“It’s a new market, ride-sharing, so I also think you can’t jump to conclusions,” Ives said. Lyft is not having a great start, he said, “but its success is going to be determined on how it does over the next 12 to 18 months, or next few years, not the second day.
Holdings Inc. Meanwhile, Facebook’s stock price has soared since its post-IPO stumble. On Monday, the shares were trading at $168.23. S&P Global Market Intelligence examined companies that went public at a value of more than $500 million since 2009. About 65% showed a positive change in the stock price after six months from the IPO. At the end of a year, 62% showed a positive change.
Some of Lyft’s Monday drop can be attributed to timing. Friday was the end of the first quarter. Some pre-IPO investors may have delayed selling the stock until Monday because of disclosure reasons, according to observers. “To avoid the underwriters’ scrutiny, big investors who were allocated stock in the offering may have waited until April 1 to sell so that their quarter-end reports didn’t reveal their flightiness,” said Daniel P. Wiener, chief executive of Adviser Investments, a Newton, Mass., money manager. “It was a short ride for Lyft’s shares.”
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Lyft raises IPO price range ahead of Friday IPOLyft raised its expected price range to $70 to $72 per share, according to an amended S-1.
Read more »
Lyft IPO: 5 things to know about the ride-hailing company ahead of its IPOLyft Inc. appears poised to beat rival Uber Technologies Inc. to an initial public offering, and that’s important for a number of reasons.
Read more »
Lyft stock drops 10%, falling below IPO priceLyft Inc. shares tumbled 10% on Monday morning, dropping below their IPO price of $72 in a rough second day of trading for the San Francisco ride-hailing firm.
Read more »
Lyft plunges below IPO price, sending cautionary message to other unicorns“This is a technical black eye,” one analyst says.“Investors will not forget.'
Read more »
Lyft falls below IPO price on its second day of tradingShares of Lyft traded as low as $69.12 a share on Monday, its second day of trading. That's more than 20 percent below its Friday intraday high of $88.60.
Read more »
Lyft raises IPO price target as investor fret over missing outLyft Inc on Wednesday raised the price range for its initial public offering, as...
Read more »
Lyft to Price Shares Above Targeted Range of $62 to $68 in IPOLyft is expected to price its shares above the targeted range for its initial public offering, in a sign of strong investor demand ahead of the ride-hailing service’s debut.
Read more »
Lyft Shares Open at $87.24, Up 21% from IPO Price of $72Lyft’s shares jumped 21% in their stock-trading debut, as investors gobbled up the first public opportunity to buy into the future of ride hailing. The $87.24 opening price gives Lyft a valuation of roughly $30 billion.
Read more »