After months of speculation, Lyft began life as a publicly traded company, shedding its startup strips and claiming a place on Wall Street.
The ride-hailing company opened at $87 a share and jumped 21% in its first few hours on the NYSE market. When the day ended, Lyft closed at $77.66, less than 10% above its opening price of $72 a share.
Lyft, now trading with the ticker symbol “LYFT”, now has a higher valuation than the $24 million that was projected under the opening price. It will be one of the largest tech companies to go public in recent memory.
The ride-hailer’s success is underscored by its growing ridership. It had 18.6 million riders in 2018, and has attracted 1.1 million drivers to work for it. Its revenue has grown to $2.2 billion.
With the Lyft opening day now in the books, analysts and the greater tech startup community will be watching it’s future performance on Wall Street to see not just that company’s prospects, but also to gauge how well other tech startups hoping to go public soon could perform. Airbnb, Instacart, and Lyft’s competitor in ride-hailing, Uber, are among the tech startups launching IPO’s this year.