Snowflake shares tumble a day after IPO surge
Snowflake IPO begins trading at the NYSE on Sept. 16th, 2020.
Shares of Snowflake were down more than 6.5% Thursday morning, just a day after the company’s blockbuster market debut.
The cloud company had closed Wednesday up more than 111%, reaching a $70.4 billion valuation at the end of trading. The company’s market cap dropped in morning trading to about $65.6 billion.
Thursday’s slide comes amid a broader market decline led by tech, with the Dow Jones Industrial Average and Nasdaq Composite both down more than .5% each.
“A stock is worth exactly what somebody wants to pay for it,” CEO Frank Slootman told CNBC just after the shares began trading. “It’s like talking about the weather, it is what it is. Tomorrow’s another day, we’ll see what it brings.”
Snowflake raised more $3 billion based on its opening price, the most ever for a software company. The stock trades under the symbol SNOW.