Shares of Robinhood Markets fell more than 10% after opening flat in their Nasdaq debut on Thursday (July 29), valuing the online brokerage at about $28 billion, a dismal reception to one of the most hotly anticipated listings of the year.
Shares fell to $34 in early trading, far lower than the offer price of $38, which was at the lower of end of its initial price offering (IPO) range.
The company, arguably the breakout financial technology startup of its generation, priced its IPO on Wednesday (July 28) and raised $2.1 billion.
Its long-awaited debut comes months after it was caught in a confrontation between a new generation of retail investors and Wall Street hedge funds.
Its decision earlier this year to restrict trading in a few popular stocks following a tenfold rise in deposit requirements at its clearinghouse had enraged the U.S. lawmakers as well as users of its app, a go-to destination for retail investors.
(Production: Aleksandra Michalska)