Market Overview

This Day In Market History: The Yahoo! IPO

This Day In Market History: The Yahoo! IPO
Q3 13F Roundup: How Buffett, Einhorn, Ackman And Others Adjusted Their Portfolio
A Peek Into The Markets: US Stock Futures Edge Lower; Crude Oil Rises
Glendon Capital Management LP Buys CVR Partners LP, Basic Energy Services Inc, Oi SA, Sells ... (GuruFocus)
Related VZ
Benzinga's Bulls & Bears Of The Week: Apple, AT&T, Exxon, Starbucks And More
IPOs, M&A, and Dividends: Taking A Look At Year-End News Catalysts
Just Retired? Combine These Strategies To Earn Solid Income With Less Risk (Seeking Alpha)

Each day, Benzinga takes a look back at a notable market-related moment that occurred on this date.

What Happened?

On this day 22 years ago, Yahoo! went public.

Where The Market Was

The Dow finished the day at 5,532.59. The S&P 500 finished at 636.71. Today, the Dow is trading at 24,511.32 and the S&P 500 is trading at 2,668.09.

What Else Was Going On In The World?

In 1996, the IBM (NYSE: IBM) computer Deep Blue defeated world chess champion Gary Kasparov. Microsoft Corporation (NASDAQ: MSFT) and partner NBC launched cable news channel MSNBC. Average monthly rent was $554.

Yahoo’s IPO

Well before Google became the dominant global search engine, Yahoo! was the website that many internet users set as their homepage. Investor enthusiasm for Yahoo! was through the roof. Its IPO priced at just $13 per share, but it opened its first day of trading at $24.50 and never looked back, finishing the day up 154 percent. At the time, Yahoo’s first-day gains were the third-largest of any IPO on record. 

When the dust settled, Yahoo stock closed the first day at a price of $33 per share, representing a market cap of $848 million.

Yahoo’s stock peaked at $118.75 during the dot-com bubble in 2000. Although the company survived the bursting of the bubble, its share price never made it back to those levels again.

Verizon Communications Inc. (NYSE: VZ) completed a deal to acquire Yahoo’s core business in 2017. The remainder of Yahoo’s business now trades as Altaba Inc. (NASDAQ: AABA).

Related Links:

This Day In Market History: Apple Launches Its First Product

5 Of The Most Nonsensical Name Changes In Corporate History

Posted-In: this day in market historyEducation Top Stories Markets General Best of Benzinga


Related Articles (IBM + AABA)

View Comments and Join the Discussion!

Startup iTech Flock Seeks To Provide Instant Tax Insights To International Filers

A Netflix Bear Stays In The Woods Ahead Of Streaming Service's Q1 Report