Snap shares plunged on Monday, falling by 12 percent in the first major selloff of the company's stock since its high-profile initial public offering of stock last week. Snap, parent of popular messaging app Snapchat, priced its IPO above the estimated range, and the shares soared in their market debut, rising by more than 40 percent on their first day of trading. The dive came after two more analysts added to recent bearish assessments of Snap shares. Needham analyst Laura Martin gave Snap an underperform rating, putting its fair value price at $19 to $23 a share, after it closed at $27.09 on Friday. "The sexier and more glamorous a company's IPO, the more likely it is to be overpriced at its IPO date," Martin said. Source: MarketWatch |
No comments:
Post a Comment