The stock of cybersecurity firm Netskope (NTSK) rose 18% in its market debut on Sept. 18.
The company, which claims to employ artificial intelligence in its cybersecurity systems, went public on the Nasdaq Composite (NDAQ) exchange in a heavily hyped initial public offering.
It was the latest in a flurry of new stock issuance that are occurring with the U.S. market at an all-time high.
Netskope’s stock finished its first trading day at $22.49 U.S. a share, up 18.4%. The company had priced its IPO at $19 U.S. a share, at the top end of a $17 U.S. to $19 U.S. range.
With 47.8 million shares offered in the IPO, Netskope raised $908 million U.S. from the stock sale. The company’s market value is just above $8 billion U.S.
Santa Clara, California-based Netskope specializes in cybersecurity for the cloud and A.I. The company reported revenue of $707 million U.S. at the end of July, up 33% from a year ago.
However, Netskope is not yet profitable and reported a net loss of $170 million U.S. for Q2 of this year.
The U.S. IPO market is barreling ahead with several high-profile stock debuts in recent weeks, including from online ticket reseller StubHub (STUB), financial technology company Klarna (KLAR), and cryptocurrency exchange Gemini (GEMI).
However, some recent IPOs have performed poorly, leading some analysts to say investor fatigue is setting in when it comes to new stock issuance.
StubHub’s stock fell below its IPO price on its first day of trading and Gemini’s stock has dropped more than 20% since its market debut a week ago.
