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Groupon (GRPN) went public at $20 a share and closed the first day at $26.11. Zy

ID: 2628010 • Letter: G

Question

Groupon (GRPN) went public at $20 a share and closed the first day at $26.11. Zynga (ZNGA) went public at $10 a share but closed the first day at $9.50. Facebook (FB) went public in 2012 at $38. While the price did initially pop to $42, the stock was trading below $28 within two weeks for a 26.3 percent decline from the IPO offer price. What subsequently happened to the prices of Groupon, Zynga, and Facebook one month, six months, one year, and two years after their IPOs? In May 2006, Vonage (VG) went public at $17 and six years later the price of the stock remained below $17. What is the current price of Vonage?

Explanation / Answer

Source: Yahoo Finance historical closing prices from Nasdaq

Current price of VG is $3.56 (11th Jul 2014 closing on NYSE, source: Yahoo Finance)

Stock Date of listing Price One month later Price Six month later Price one year later Price two years later Groupon 4th Nov 2011 19.04 10.58 3.9 10.57 Zynga 16th Dec 2011 9.22 5.56 2.44 4.1 Facebook 18th May 2012 31.41 22.36 25.76 59.21