Zoom Video Surges Past Lyft and Pinterest as Value Tops $20 Billion
(Bloomberg) -- Surging shares of Zoom Video Communications Inc. since its debut last month have made it more valuable than Lyft Inc. and Pinterest Inc.
The conferencing technology company has gained 120 percent since it sold shares at a valuation of $9.2 billion on April 17, making it the best performing initial public offering of the year to raise at least $300 million, according to Bloomberg data. Zoom's $20.6 billion market capitalization now exceeds Lyft at $17.9 billion and Pinterest at $15.3 billion.
Of the three companies, Zoom is the only one that turns a profit. The San Jose, California-based company had adjusted net income of $5.7 million in the fourth quarter on revenue of $105.8 million. After closing lower just once in the 11 days since the IPO, the stock is trading 33 percent above the average analyst target price.
By contrast, Lyft, which sold shares at a $20.6 billion valuation last month, has struggled to rise above its debut price and has seen its shares fall 13 percent. The ride-hailing company may face additional pressures next week when larger rival Uber Technologies Inc. is expected to price its own offering. Pinterest, the social-networking company, debuted on the same day as Zoom and has gained 49 percent.
To contact the reporter on this story: Jeran Wittenstein in San Francisco at jwittenstei1@bloomberg.net
To contact the editors responsible for this story: Catherine Larkin at clarkin4@bloomberg.net, Scott Schnipper
©2019 Bloomberg L.P.
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