American Invest Hub
  • Politics
  • Investing
  • Business
  • Latest News

American Invest Hub

  • Politics
  • Investing
  • Business
  • Latest News
Business

ServiceTitan stock soars 40% on Nasdaq debut

by admin December 13, 2024
December 13, 2024
ServiceTitan stock soars 40% on Nasdaq debut

ServiceTitan made a blockbuster debut on the Nasdaq Stock Exchange on Thursday.

Shares opened more than 40% up compared to their initial public offering (IPO) price of $71 and stuck a market cap of $6.3 billion on the cloud-based software company.

ServiceTitan currently has more than 8,000 customers with over $10,000 in annualised billings.

ServiceTitan stock debut matters a lot

ServiceTitan is a significant debut since not a lot of tech companies opted to go public in recent years as inflation and higher interest rates deterred appetite for riskier assets.

But the cloud company that now trades on Nasdaq as “STTN” raised about $625 million via an initial public offering and rallied more than 40% this morning to suggest investors are now ready to park their capital gain in tech.

In fact, continued push to the upside in the likes of Alphabet, Amazon, Tesla, Apple, and Meta Platforms pushed the Nasdaq Composite Index to an all-time high of over 20,000 this week.  

Other than founders Ara Mahdessian and Vahe Kuzoyan – names like Iconiq Growth, Bessemer Venture Partners, and TPG are some of the top shareholders of ServiceTitan at writing.

IPO market could pick up in 2025

ServiceTitan says its revenue increased by 24% on a year-over-year basis to $198.5 million in its October quarter. Still, it lost $47 million in the three months from about $40 million a year ago.

The warm welcome of STTN on the Nasdaq signals “a window is opening” in the IPO market, according to Greg Martin – the head of Rainmaker Securities.

Investors also expect pro-business policies under the Trump administration to help revive the long-dormant tech IPO market.

Just this morning, President-elect reiterated their commitment to cutting corporate taxes and accelerating the approval process for investments worth over $1.00 billion as he rung the bell at the New York Stock Exchange.

Both of his remarks can be interpreted as fairly positive for future initial public offerings.

ServiceTitan is not a cheap stock

ServiceTitan stock is rallying on market debut also because its leveraging AI via its Titan Intelligence platform. The offering provides actionable insights to plumbers, landscapers, roofers, and others in the trades industry.

Titan Intelligence also automates repetitive tasks, predicts outcomes, and improves customer and employee experiences.

Investors are cheering STTN as they see it as another play on the AI market that Statista forecasts will grow at a compound annualised rate of more than 28% through the end of 2029.

Nonetheless, some caution is warranted as ServiceTitan shares are not particularly inexpensive.

At $101, ServiceTitan stock is currently going for close to 13 times its trailing 12-month revenue.

In comparison, that multiple for the software industry at large typically sits between 6 times and 9 times.   

The post ServiceTitan stock soars 40% on Nasdaq debut appeared first on Invezz

0
FacebookTwitterGoogle +Pinterest
previous post
TSX Composite index rallied in 2024: here are the top constituents
next post
Why is Warner Bros Discovery splitting its cable networks from streaming business?

Related Posts

Chinese industry groups claim US chips are ‘no...

December 4, 2024

TikTok owner goes all-in on AI: ByteDance earmarks...

January 23, 2025

Bitcoin Pepe hits $0.0326 as presale raises $8.3M...

May 15, 2025

Asia markets on Friday: Hang Seng, Nifty end...

April 11, 2025

CVS Health stock price is recovering: Feb 12...

January 30, 2025

AMD stock price forecast 2025: the plot thickens

January 7, 2025

Top 3 stocks to buy after Fed’s 25-basis-point...

November 9, 2024

Quantum Computing Inc.’s (QUBT) stock surged, but has...

November 14, 2024

Indian markets close: Sensex soars 1,509 points, Nifty...

April 17, 2025

Curaleaf stock price forecast: is the CURLF crash...

February 18, 2025

    Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Latest News

    • Interview: Strategic location gives Brazil Potash cost advantage in domestic fertiliser market, says CEO Matt Simpson

      June 1, 2025
    • Canada’s Q1 GDP expands by 2.2%, driven by exports spike ahead of potential US tariffs

      June 1, 2025
    • President Trump to host farewell for Elon Musk as DOGE leader steps away

      June 1, 2025
    • UK’s digital banks face divergent fortunes: Starling stumbles, Monzo and Revolut soars

      June 1, 2025
    • Trump wants Apple to shift iPhone production from India to the US: here’s what it means

      May 18, 2025

    Categories

    • Business (3,022)
    • Investing (2,459)
    • Latest News (1,994)
    • Politics (1,530)
    • About us
    • Contact us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: americaninvesthub.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 americaninvesthub.com | All Rights Reserved