Uber Stock Tumbles After IPO, Leading to Disappointing First Day as Public Company
Uber raised over $8 billion in its first day as a publicly traded company and still managed to fall short of expectations. The company opened its first day of trading with an initial public offering price of $45, but finished the day at $41.52 -- down 7.7 percent. According to The New York Times, "Since 2000, only 18 companies valued at more than $1 billion and listing on American exchanges have opened below their IPO price."
It's been a tough month for ride-sharing apps, given how Lyft announced losses of over $1 billion in its first quarter as a publicly traded company just days before.
Many of the other major players in the tech industry also had moderate losses on the day. Amazon shares fell by 9.89 points (-0.52 percent on the day), Facebook fell by 0.18 points (-0.10 percent) and Netflix fell by 1.94 points (-0.53 percent). The Entrepreneur Index™ was also down -0.10 percent on the day.
Meanwhile, the Dow index and S&P 500 rose 0.44 percent and 0.37 percent, respectively. Some of the standouts included Tyson Foods, which was up 1.87 points per share (+2.4 percent); Walmart, up 2.41 points (+2.42 percent) and Costco, up 3.43 points (+1.41 percent).
The Entrepreneur Index™ collects the top 60 publicly traded companies founded and run by entrepreneurs. The entrepreneurial spirit is a valuable asset for any business, and this index recognizes its importance, no matter how much a company has grown. These inspirational businesses can be tracked in real time on Entrepreneur.com.