5 IPOs that Flopped

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In this article we discuss the 5 IPOs that flopped. If you want to read our detailed analysis of these IPOs, go directly to the 10 IPOs that Flopped.

5. ContextLogic Inc. (NASDAQ:WISH)

Number of Hedge Fund Holders: 21

Share Price on September 21: $6.07 

IPO Price: $24 per share    

ContextLogic Inc. (NASDAQ:WISH) is ranked fifth on our list of 10 IPOs that flopped. The firm owns and operates a mobile ecommerce platform and is headquartered in California. In late 2020, the company debuted on the stock market and raised more than $1 billion with a $24 per share price. However, in the following two days, the share price dropped drastically, sinking almost 16% and hovering around $19 at one point, before rebounding slightly. The shares plunged in value further over the past few months. 

On August 23, investment advisory Citi maintained a Neutral rating on ContextLogic Inc. (NASDAQ:WISH) stock but lowered the price target to $7.50 from $12, noting that the firm was having difficulty sustaining growth due to higher user churn and elevated ad rates.

Out of the hedge funds being tracked by Insider Monkey, New York-based firm JS Capital is a leading shareholder in ContextLogic Inc. (NASDAQ:WISH) with 1.8 million shares worth more than $24 million. 

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