Internet radio phenom Pandora could be singing all the way to the bank as its shares jumped 50 percent in their market debut. The still-unprofitable Internet radio service soared more than 50 percent, rising as high as $26 in early trading. This values Pandora at more than $4 billion.
Pandora’s offering comes amid a fervor for high-profile Internet IPOs. LinkedIn was the first to go public among the latest generation of Web startups. It closed at $94.25 on the first day it hit the market. Groupon has also filed to go public, as has “FarmVille” maker Zynga Inc.
Is Wall Street’s interest in the rash of tech IPOs reminiscent of the dot.com boom – and bust?
CNBC’s Simon Hobbs says, “This could be real fireworks again. This Internet bubble – as some people would call it – has an awfully long way to go, it would appear.”
For Joe Scarborough, it sounds like funny money. “The thing is, you never know what’s going to happen. Think of all the money I buried in Pets.com in 1999. I’m still living off the fat of that land.”
“Perhaps only the names have changed,” adds Hobbs.