Uber and the Rare Case of Big IPO Fail: Uber Compared to Facebook, Snap, Zynga and Groupon Public Offers

Although the public debut of Uber was veiled with hype, emphasizing the fact that Uber might easily become the biggest IPO in years, Uber (UBER) failed to meet investors’ expectations.

The worst thing, perhaps, lies in the fact that the situation that happened to Uber on their public debut is actually a rare case in the Wall Street.

Carefully orchestrated IPOs such as the one Uber had prepared, usually don’t fail to meet the lower end of share price estimates.

However, Uber went below the lowest share price target already at the start, opening trade at 42$ per share and dropping below the opening price.

How Facebook IPO Did Compared to Uber?

Facebook made it 11% up from its opening share price back in May 2012, unlike Uber that dropped at the very beginning of the opening trade. Facebook also dipped by -13% in a week after the initial debut, dropping by -30% in a month.

However, a year later, Facebook’s shares are 5 times the opening price.   

How Snap IPO Did Compared to Uber?

Snap had an amazing debut back in 2017, as one of the most anticipated IPOs of the year. Snap shares opened at 41% higher than the share price estimate, and ending the first session at 44% of gains for the day.

Snap managed to keep up with rises above 30% for a month since Snap IPO, however, after a year, Snap share price started to depreciate due to unfavorable financial reports, having Snap shares -40% below the IPO share price in 2019.

How Zynga IPO Did Compared to Uber?

Zynga had its public debut back in 2011, when the creator of social media platforms and games got through the first trading session 5% up from its initial share price target. However, Zynga shares have been stripped off their value by -75% only a year later.

How Groupon IPO Did Compared to Uber?

While Uber was down over -7% for the first day, Groupon jumped by 30% on its first trading day back in 2011 when the online coupon company debuted.

A year later, just like it is the case with Zynga, Groupon share price went down by -81%.

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