ARM Completed Its Public Offering: Shares Gained Value on Its First Day

The eyes and ears of the technology world have been ARM‘in. The company, which is among the world’s leading chip design and licensing companies, has been IPO issue was on the agenda and the issue that almost everyone was talking about has come to an end. As of yesterday NASDAQARM, which started to be listed on , showed an impressive performance on its first day.

ARM’s IPO price, which attracted investors from all over the world 51 dollars It was announced as. In other words, those who wanted to buy ARM shares during the bookbuilding period paid $51 per lot. However, with the opening of NASDAQ, this price remained cheap. On the first trading day 28 percent ARM shares gaining value, up to $65.43 rose. ARM made history with this development. However, we should note that the shares fell to $63.59 when the transaction closed.

It was the biggest public offering of the year!

*ARM stock price chart.

In the statements made about ARM, it was stated that 4.87 billion dollars of income was obtained from the public offering. ARM increased its valuation with this revenue increase. to 54.5 billion dollars has increased. ARM’s IPO was the largest IPO of the year with these statistics. As a side note, a small portion of the company went public, while SoftBank continues to control about 90 percent of ARM. Despite this, the demand is lower than the opened lot value. was more than 10 times…

Why was ARM’s IPO such a hot topic?

The common opinion of economists about ARM is artificial intelligence effect. Artificial intelligence, which has just begun to enter our lives, makes companies working in this sector attract attention. As such, the shares of artificial intelligence-focused companies are increasing, and as we see in ARM, huge investments are made in the IPO process. explosions It’s happening. Just a few weeks ago, NVIDIA increased its earnings by 100 percent and profits by 800 percent in the last quarter. what we convey Let’s remind you.

We may continue to see ARM-like IPOs

This is according to financial expert Daniel Morgan, who has been in the industry for more than 30 years. beginning. Explaining that investment banks are starting to be enthusiastic about artificial intelligence-focused companies, Morgan says that he thinks that other companies that touch artificial intelligence, such as ARM, will start to go public one by one. Another financial expert, Chuckie Reddy, said that the increase in value of ARM shares on the first day was due to the public offering process. will be a trigger he stated. According to Morgan, this is the case. However, Morgan believes that this will only be about artificial intelligence and technology companies…

Note: This content cannot be considered as investment advice.