Demand Media's IPO A Hit, Stock Is Up 39%

Demand Media’s IPO soared out of the gate, with the stock trading at $23.59, as of this writing.

Since the IPO was priced at $17, any of the institutional investors that bought at that price are already up 39%. If you just bought it on the market at the open, you’re pretty much even. (The broader market is up for the day.)

Soaring out of the gates doesn’t necessarily mean too much. Tesla had a nice first day, then fell back to earth. We’ll see how the public reacts to this so-called content farm over the long run.

dmd chrt

Photo: Yahoo

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