Snowflake stock down after IPO surge

Snowflake IPO begins trading at the NYSE on Sept. 16th, 2020.

Source: NYSE

Shares of Snowflake were down more than 7% Thursday morning, a day after the cloud company’s blockbuster market debut. 

Share prices closed Wednesday up more than 111%, giving Snowflake a $70.4 billion valuation at the end of trading. The company’s market cap dropped in morning trading to about $65 billion. 

Thursday’s slide comes amid a broader market decline led by tech, with the Dow Jones Industrial Average down 0.5% and Nasdaq Composite down 1.6%. 

“A stock is worth exactly what somebody wants to pay for it,” CEO Frank Slootman told CNBC just after the shares began trading. “It’s like talking about the weather — it is what it is. Tomorrow’s another day, we’ll see what it brings.”

Snowflake raised more $3 billion based on its opening price, the most ever for a software company. The stock trades under the symbol SNOW.

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