Krispy Kreme sinks following a 24% surge on its first day as a public company
- Krispy Kreme gave up ground Friday morning, following a 24% first-day surge.
- The stock immediately sank as the market opened, losing 7.6% in the first five minutes of trading before finding a floor.
- Krispy Kreme's IPO had initially been targeting the $21-$24 range, before later being revised down.
Krispy Kreme gave up ground Friday morning, following a 24% first-day surge as the donut dealer went public.
The stock immediately sank as the market opened on Friday, dropping as much as nearly 10% shortly after the opening bell before paring some losses.
Early activity on Thursday saw the newly-public stock sag, opening a bit below the target IPO price of $17. The stock, under the ticker DNUT, recovered throughout a choppy trading day, finishing up 24.2% to close at $21.12.
Krispy Kreme's IPO had initially been targeting the $21-$24 range, before later being revised down to ultimately price at $17 per share. This means even Thursday's impressive gains still only put the stock at the lower bound of its original goal. The IPO raised around $500 million, down from initial expectations of $640 million, according to Bloomberg.
Krispy Kreme was trading at $19.65 as of 9:40 a.m. ET on Friday.