Reddit priced its stock on Wednesday at $34 a share, the top of the anticipated range, a signal that investors are excited about the company’s IPO on Thursday. The social media giant raised nearly $500 million in the offering.
Click here to read the story at techcrunch.com.
Discussion Questions:
- What is stock?
- Who are a company’s shareholders?
- Why is stock important to a business from a financing perspective?
- What is the difference between public stock and private stock?
- Where are public stocks bought and sold?
- What is a stock symbol?
- What is the Reddit stock symbol?
- What is an IPO? What does that have to do with “going public”?
- What are the requirements a company must fulfill before going public?
- What are the advantages to going public?
- What are the disadvantages?
- Why do you think Reddit went public?
- What is a profit?
- According to this story, is Reddit currently profitable?
- If they a business is not profitable, why would anyone want to purchase its stock?
- According to this presentation, how did the Reddit stock price perform in its market debut?
- How much money did it help the company to raise?
- How will that benefit the company moving forward?