Cango went public with filing for IPO back in 2018 during the period when numerous tech companies were joining the market of public offers, altogether having a first run that didn’t end that well for Cango’s IPO.
Cango was approved for a listing on Nasdaq under the thicker (CARG), starting at an opening price 11$, while the estimated value for Cango IPO was set at 1.8 billion dollars.
Cango went public on July 26th, 2018, managing to raise 44 million dollars with the first IPO sale.
The price of shares dropped since July, as the share is presently trading below 11$, and a little above the value of 7$, following an upward trend with the latest closing.
Cango (CANG) Future Predictions and Reasons to Consider Investing in Cango
Cango is said to be one of the rare tech IPOs that were able to report strong earnings besides a strong growth rate before going public and previously filing for IPO, while according to the latest reports, this Chinese-based companies that links car buyers with dealers, and banks has expected earnings growth of 94%, making it a potentially profitable investments despite the fact that the share is trading below its opening price recorded in July 2018.
Cango is also said to be able to cover borrowed cash, additionally using the borrowed cash for further development of the company’s operations, indicating that Cango is a financially healthy company.
The company also noted an important increase in the number of dealers covered by the company’s services in their report published on March 27th, stating that the company had recorded 5% of increase for the fourth quarter of 2018, covering 46,565 dealers.
The company also published their report on the revenues for the year 2018, reporting that Cango have made 158.7 million dollars in net profits during 2018 that way marking a year to year increase in earnings by 3.7%, which might reflect on the price of shares in the following period as well.
