Dive Brief:
- For TubeMogul's first day of IPO, the ad tech firm priced shares well below what it had hoped in response to a Wall Street that is still weary of ad tech — the $7 shares were already trading over $10 by noon.
- Despite the 50% increase in value of the shares, TubeMogul's overall earnings fell short of its $93 million goal, as it closed out the day with $43.75 million.
- TubeMogul initially hopes to post shares at $11 to $14, but scaled back after rough market responses from similar firms like YuMe and Tremor.
Dive Insight:
Ad tech and other internet firms have had a rough time on Wall Street. Even though TubeMogul strongly believes it has a superior product — and even with lower share prices, it will probably still be profitable eventually — the market is weary of ad tech firms because of previous performances.
