DoorDash Inc. shares closed up more than 85% Wednesday in their New York Stock Exchange debut.
Shares of the food-delivery company closed at $189.51 apiece after touching an intraday high of $195.50.
Strong investor demand caused DoorDash shares, which trade under the ticker DASH, to open at $182 after pricing at $102 the prior evening. Early indications suggested the stock would price between $90 and $95.
CEO Tony Xu celebrated his company's NYSE debut tweeting, "Starting our next chapter..."
Wednesday’s initial public offering raised $3.37 billion, giving DoorDash an early valuation of over $60 billion on a fully-diluted basis. The IPO makes DoorDash the second-largest company to go public this year after Quicken Loans-parent Rocket Cos. debuted in July at $44 billion.
DoorDash saw its market share surge to nearly 50%, up from 33%, as more people used food delivery amid the COVID-19 pandemic. It competes with UberEats and GrubHub.
|UBER||UBER TECHNOLOGIES, INC.||51.75||+0.30||+0.58%|
The company reported third-quarter revenue rose 268% from a year ago to $879 million. Order volume through the first nine months of the year increased to $16.5 billion from $5.5 billion.