Today, the initial public offering (IPO) party continues. Shares of Remitly (NASDAQ:RELY) have done relatively well on their market debut today. Currently, RELY stock is up approximately 8% over its IPO price of $43 per share.
This positive momentum for Remitly is perhaps unexpected, seeing the bullish sentiment that’s materialized in the market over the past few days. It appears investors remain content to brush off concerns about Federal Reserve tapering. Instead, they are focusing on the growth prospects coming out of this pandemic going forward. For newly listed IPOs such as Remitly, this it is a relatively bullish market to open into.
That said, RELY stock is down substantially from its highs of the day. Shares opened near $53 per share in early trading, before selling off to the $46.50 level at the time of writing. That said, the price action with this stock has been entirely above the $43 IPO price range, signaling a very strong opening day for this company.
Let’s dive into a few things investors may want to know about Remitly.
What to Know About RELY Stock
- Remitly is a company focused on a $540 billion addressable market in remittance flows sent to low- and medium-income countries.
- This is a market that many analysts and investors have pointed out as rife for disruption for some time.
- The company’s focus is on catering to immigrants looking to send money home to family or friends.
- Remitly’s excellent customer service and lower costs are a competitive advantage, given the company’s growing market share.
- The company raised more than $520 million as a result of its offering today.
- Initially, the company priced shares in the $38 to $42 range.
- However, Remitly upgraded its offering to the $43 level today amid higher investor interest in this stock.
- Approximately half of the offering was carried out by shareholders, with the company receiving no proceeds from those shares sold.
- The lead underwriters of the deal included Goldman Sachs (NYSE:GS) and JPMorgan (NYSE:JPM).
On the date of publication, Chris MacDonald did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
