Zillow stock soars, then falls, on first day of trading
What goes up often comes back down. Seattle-based real estate website Zillow, Inc. set its IPO price at $20 a share yesterday. It was offered for sale on the NASDAQ Stock Market at $60 a share this morning, but quickly fell into the $40 range.
It hit a low point at $32.50. By the close of trading, it was selling for $35.80...a 79% increase over the IPO price.
Zillow's debut is also noteworthy because it uses only the letter 'Z' as its stock symbol, making it the first company with a single letter ticker symbol on the NASDAQ.
Wonder why prices often skyrocket after an IPO? Check out our Money Matters conversation about IPO fever from last May.