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Instacart ( Maplebear Inc.) (NASDAQ:CART) opened at $42 on the Nasdaq in afternoon trading, up more than 40% from its IPO price of $30 a share, but gave up some gains to trade about 23% higher.
The initial surge pushed value of the company to over $14B, well above its $10B IPO valuation.
The online grocery delivery company generates the bulk of its revenue from its core grocery delivery business, but has seen demand for grocery deliveries ease since the pandemic-era boom.
Instacart’s data and advertising business, however, has continued to gain momentum, with advertising and other revenues rising 2.8% as a percentage gross transaction value in the second quarter from 2.7% in 1Q and 2.4% a year ago, according to the company’s S-1 filing.
