Shares of CarGurus Inc. has jumped 72 percent in their market debut on Thursday, giving the company a market capitalization of more than $3 billion.
The company has grown rapidly since it was set up by TripAdvisor co-founder Langley Steinert in 2006, and said in its IPO filing it had 61 million average monthly users and 5.4 million car listings in the United States as of June 30.
The Cambridge, Mass.-based company’s IPO was priced at $16 per share, above the previously outlined $13-$15 range, and raised $150.4 million. The stock touched a high of $30.19 minutes after it started trading on Thursday. The shares (Nasdaq: CARG) closed the day at $27.58, up 72.4 percent.
The company reported a 70 percent jump in total revenue to $143.3 million in the six months ended June 30, while net income soared more than sixteen-fold to $8.6 million.
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