By Kuldip K. Ambastha
The past trading week was a big one for the initial public offering (IPO) market sector. Airbnb, Inc. (ABNB), C3.ai, Inc. (AI), and DoorDash Inc. (DASH) all had massive IPOs. Airbnb is an online marketplace for rental properties, C3.ai is an enterprise artificial intelligence software-as-a-service applications provider, and DoorDash is a technology-based restaurant food delivery service provider.
Airbnb’s first day of trading was Thursday, December 10, 2020, and the pre-set IPO price was $68.00 per share. Airbnb opened at $146.86 (making for a +116.0% immediate gain), and then closed at $144.71 (delivering a +112.8% return for the day). C3.ai’s first day of trading was Wednesday, December 9, 2020, and the pre-set IPO price was $42.00 per share. C3.ai opened at $100.00 (making for a +138.1% immediate gain), and then closed at $92.49 (delivering a +120.2% return for the day). DoorDash’s first day of trading was Wednesday, December 9, 2020, and the pre-set IPO price was $102.00 per share. DoorDash opened at $182.00 (making for a +78.4% immediate gain), and then closed at $189.51 (delivering a +85.8% return for the day).
Based on the numbers quoted here, investors are bullish on the future prospects of these three companies. However, only time will tell if the companies can deliver upon what investors are expecting. Technology-focused companies such as the ones noted here can make life easier for people, but maintaining viable companies over time is still tough. Earnings, revenues, profits, and other key metrics will all have to be strong going forward so that investors have continued confidence in these three companies.
Keywords – Airbnb, Inc., Airbnb, ABNB, C3.ai, Inc., C3.ai, AI, DoorDash Inc., DoorDash, DASH, initial public offering, IPO, online, Internet, technology, tech, earnings, revenues, profits, key metrics, future, long-term, short-term.
Disclosure – The principals and clients of Ambastha Financial LLC have no positions in ABNB, AI, or DASH.
Disclaimer – No recommendations are being made via this post. Past performance is not an indicator of future performance. As an investor, you should do your own research and seek professional advice from a Registered Investment Adviser (RIA). You can lose money by investing in stocks and other instruments. Ambastha Financial LLC does not assume any responsibility (legal or otherwise) for any losses that may occur as a result of actions taken based on this post. All content copyrighted © 2020 – Ambastha Financial LLC.