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Sonos Stock Up 16% as Company Debuts on Nasdaq

share prices rose sharply Thursday after the close of markets on better-than-expected earnings news: Investors sent the company's stock up nearly 20 percent in after-hours trading after revealed that it nearly broke even in its fiscal fourth quarter, which ended on September 30, and surpassed $1 billion in revenue for its fiscal full year of 2018.

Sonos

The Santa Barbara, Calif.-based smart speaker maker had announced $15 as its IPO pricing late Wednesday, pricing itself below its original guidance of $17-$19 per share.

For its public markets debut, Sonos didn't just ring the Nasdaq opening bell. The company actually proceeded to redesign the sound of the bell, which had been unchanged since 2000.

"Sonos Sound Experience Lead Giles Martin and Academy Award-winning sound engineer Chris Jenkins worked with Nasdaq on the project," the company wrote in a blog post. "Experimenting with different instruments and techniques, our sound engineers artfully created a bell that both honors Nasdaq's roots as a disruptor and speaks to our shared commitment to the pursuit of innovation, knowledge and improvement."

Investors often closely watch a company's first day of trading for indicators on how the market values the company. Stock performance on that critical first day can have a significant impact on how the company does in the following weeks, but it's not necessarily a good omen for the long-term health of a company.

Snapchat corporate parent Snap for instance saw its stock trade up 44 percent on its first day, but now trades significantly below its IPO opening price. Facebook's stock on the other hand gained less than 1% on the first day. To date, Facebook's stock price is up more than 450% over its original IPO opening price.

This post is continuously being updated throughout the first day of trading.

Related stories

AmpMe Partners With Deezer, Pairs Sonos With Bluetooth Speakers (EXCLUSIVE)

Sonos Prices IPO at $15 per Share, Will Start Trading Thursday

Smart Speaker Maker Sonos Prices IPO at $17 to $19 per Share

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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