HubSpot had a good first day on Wall Street. The Massachusetts-based marketing software company is worth about $914 million after its stock closed at $30.10 — 20% higher than the $25 opening price — on the New York Stock Exchange.
HubSpot raised $125 million from the IPO, selling 5 million shares at the $25 price on Wednesday. The stock — with ticker symbol HUBS — opened at $32.99, according to Yahoo Finance
HubSpot offers marketing services for mid-sized businesses, which it defines as having between 10 and 2,000 employees. It offers marketing tools that include blogging, social media publishing and monitoring, marketing automation and analytics. In a Marketing Land survey conducted late last year, HubSpot was the third most-recognized marketing technology brand, behind Google and Moz and ahead of SalesForce, Adobe and others.
The company isn’t profitable. In 2013, it had $77.6 million in sales with a net loss of $34.4 million. In the first six months of 2014, it pulled in $51.3 million in revenue, losing $17.7 million. It reported an accumulated deficit of $123.8 million as of June 30 and without the IPO might have needed to tap further into its line of credit to cover expenses.
Team @HubSpot ringing the opening bell at #NYSE for $HUBS Thank you to all our supporters and believers. YOU rock! pic.twitter.com/cbfO6QUarT — Mike Volpe (@mvolpe) October 9, 2014
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