On Wednesday, ContextLogic Inc (WISH) had a less flamboyant IPO than that of Airbnb Inc (ABNB) and DoorDash Inc (DASH). The parent company of online sales platform Wish, launched on Wednesday under the ticker “WISH” on the Nasdaq, lost ground for its first day of listing by dropping -16.4% to end the session at $20.05. The group was still able to raise $1.1 billion in this deal by selling 46 million shares as the IPO price was set at $24 each (at the top of the indicative range). Airbnb was up 10.57% to $137.99 while DoorDash was down -0.53% to $158.05 on the day.
Dish Network Corporation (DISH) fell -11.69% to $31.51. The pay-TV giant will sell $2 billion in convertible bonds, which are expected to weigh on the stock market today.
Southwest Airlines Co. (LUV) soared -1.49 percent to conclude the trading at $45.73. The airline now expects revenues to fall by 65-75 percent in December, compared to previous guidelines ranging from 60 to 65 percent. The group also predicts a high level of cancellations with the outbreak of Covid-19 cases. In January 2021, the U.S. airline predicts that poor demand will continue. Southwest now expects cash intake of $12 million a day in the fourth quarter, up from a previous estimate of $10 million to $11 million.
Considering the increase in certain rates, JP Morgan has just released a cautious opinion on the airline industry, suggesting profit taking and downgrading JetBlue Airways Corporation (JBLU), Spirit Airlines Inc (SAVE) and United Airlines Holdings Inc (UAL) all from “Overweight” to “Underweight.” JetBlue Airways lost -1.15% to settle at $14.65 on the day. Spirit Airlines fell -1.95% to $26.16 while United Airlines dropped by 3.08% to $46.00.
Gilead Sciences Inc (GILD) was -0.82 percent to $58.94. The drug manufacturer won’t apply to the U.S. Drug Agency for its new treatment for rheumatoid arthritis because without further research, validation is impossible.
Twitter Inc (TWTR) rose by 2.29% to $54.03 at ring of the bell on Wednesday. The social media network announced the closure of the live video sharing app Periscope, purchased five years ago, in March. The social network cites the decrease in use and excessive maintenance costs over the past two years. However the stock could benefit today from a recommendation from JP Morgan, which has just gone from ‘neutral’ to ‘overweight’ when the stock is still at a six-year high on the stock market.