Lyft Enters the Market With a Bang - 24/7 Wall St.
Lyft Inc. (NASDAQ: LYFT) entered the market with a bang in one of the most anticipated initial public offerings (IPOs) of the year. Shares actually went out at just over $87, compared to its pricing of $72, which was at the high end of the expected pricing range of $70 to $72. Overall, 30.77 million shares were offered. The entire offering, including the overallotment option, was valued at $2.55 billion.
There were already a couple analysts with ratings out for the ride-share company ahead of the IPO. Northland Research and Wedbush each had a Neutral rating, the latter with an $80 price target. Note that these analysts can issue ratings now because they are not part of the underwriting group, which is subject to a quiet period.
It’s also worth noting that this is the biggest IPO since Facebook came public in 2012.
The IPO was expected to be one of the largest since the 2014 offering by Chinese e-commerce giant Alibaba and the largest since the March 2017 IPO of Snap, which raised around $3.4 billion and valued the messaging company at about $33 billion. Snap’s market cap now sits at around $14 billion.
Shares of Lyft were last seen up 15% at $83.22, in a range of $82.50 to $88.60 on the day thus far. Also, about 33 million shares had moved as of 12:25 p.m. Eastern.