Mobile application Snapchat stock soared on New York Stock Exchange and already raised 3.4 billion dollars.
Snapchat Photo credit: dennizn/123FR/Channel 2 News
Today (Thursday), mobile application Snapchat started trading on the New York Stock Exchange after completing the largest initial public offering (IPO) since 2014. Snapchat raised 3.4 billion dollars since the IPO. Since the opening of the markets, the stock increased by more than 40%.
However, despite the increase of users and the successful IPO today, the company is still operating at a big loss and it remains unclear whether it will be able to become profitable. The company has some serious competition with Facebook and Instagram, who copied the central features that made Snapchat stand out and make it a hit among users.
Snap Inc. (Snapchat’s parent company) was founded in 2011. The company also created a product known as Spectacles, which are sunglasses interfaced with Snapchat that upload videos taken from the user’s point of view.