Shares for car marketplace CarGurus soared as much as 88% after the company’s initial price offering (IPO) on the Nasdaq stock exchange on October 12.

Share price quickly climbed to a peak of $30.17 (£22.58) after trading began, up from the initial price of $16. Shares are trading at $28.20 at the time of writing.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

The company raised $150m from the IPO. Shares were priced above the suggested initial price of between $13 and $15.

Current share prices has given CarGurus a market valuation of over $3bn.

Langley Steinert, founder and chief executive officer, said: “We are thrilled to mark this milestone for CarGurus and celebrate such an auspicious moment in our company’s story with our partners at Nasdaq.

“In the world of online marketplaces, we have always believed that trust and transparency are the biggest draw for consumers. These are the principles we founded CarGurus on and we look forward to further establishing ourselves as the top destination for online car buying and selling as we embark on this new chapter.”

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Nelson Griggs, president of Nasdaq, said: “CarGurus is a trusted, transparent marketplace. Their online automotive marketplace model drives powerful network effects and offers an industry-leading inventory selection. Nasdaq is proud to partner with CarGurus during their journey as a public company.”

Steinert, formerly founder of TripAdvisor, set up CarGurus in 2006. The company’s 40,000-strong dealer network operates across the US, Canada, Germany, and it launched in the UK in 2015.