Hail, Uber! Uber went public last week with great fanfare befitting the third largest Initial Public Offering in US history. Hoorah, Uber! All hail Uber!
Then, they ran into reality and reality drowned them with surge pricing.
Uber came public at the low end of the proposed range (already a huge disappointment when compared to the investment bank courtship days) and promptly fell, making it the largest first day IPO loser in US history. Hello, America.
In fairness to Uber, the markets have been reeling with the US-China trade treaty negotiation news and the imposition of tariffs and retaliatory tariffs. [Trump’s fault?]
Lyft — a competitor — was also tanking adding to the cloud over the market and the IPO world.
Nonetheless, Uber has some problems.