With 180 million Uber shares about to hit the stock market, it’s no surprise the stock’s first trade may take a while.
New York Stock Exchange Chief Operating officer John Tuttle said on Yahoo Finance’s The First Trade Friday that Uber’s (UBER) stock may not open until the early afternoon.
“It may take a while,” Tuttle said. Tuttle pointed out that two other big IPOs took a while to open as well: Alibaba (BABA) didn’t open until noon while Spotify (SPOT) opened even later.
Uber priced its IPO at $45 a share, valuing the company at $75.5 billion. The pricing is well below what some expected could be a $120 billion valuation. But with Lyft dropping the ball with its IPO (stock down 23% since its late March debut) by overhyping it on the roadshow, Uber reportedly chose a more conservative path.
It was probably right to take that more measured path.
The owner of Uber Eats and its eponymous ride-hailing service saw its sales spike 43% last year to $11.3 billion. But, the company lost $3 billion on top of a $4 billion loss in 2017. Overall growth continued to slow in most areas of Uber’s business, too.
Uber’s cash flow from operations the past three years was an outflow of $5.8 billion.
Uber by the numbers
MoreBrian Sozzi is an editor-at-large and co-host of ‘The First Trade’ at Yahoo Finance. Follow Brian Sozzi him on Twitter @BrianSozzi
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