GoDaddy Surges on IPO, ON Semiconductor Off on Downgrade -- Tech Winners & Losers

NEW YORK (TheStreet) -- GoDaddy (GDDY) did just that after launching its initial public offering Wednesday, soaring by double digits. ON Semiconductor (ONNN) plummeted following a downgrade by Goldman Sachs and GoPro (GPRO), according to a report, may have been the victim of a false break-out.

GoDaddy soared 30.8% to close at $26.15, while the broader markets were down across the board.

The Web site hosting and services company surged on its public debut today after pricing its IPO at $20 a share Tuesday night, raising $460 million in capital. The 18-year-old company marks the fourth technology IPO this year, in a market that has seen far fewer IPOs go out in the past three months than the same time last year.

Although the company has not been profitable since 2009, its valuation reached nearly $4 billion on its debut, according to CNN.com.


ON Semiconductor plummeted 5.2% to end the session at $11.48.

The maker of memory chips to mico-controllers fell after Goldman Sachs downgraded the company to sell from neutral, according to a report in Benzinga. Goldman also chopped its price target to $10.50 from $12.50.

In providing its reasoning for the downgrade, Goldman Sachs attributed it to the company's Asian and European rivals potentially entering into a price war with ON Semiconductor now that the dollar has recently strengthened, according to Benzinga. 

Meanwhile, the company plans to change its ticker symbol to "ON" when the markets open on April 6.


GoPro tanked 5.8% to close at $40.89.

The high-adventure video camera maker may have fallen because of a false breakout from yesterday's trading period, according to a report in Benzinga. The publication noted:

After struggling with the $44 level for four sessions in a row, it rallied and made a new high for the move at $44.45. Although it retreated to close at $43.41, it was not enough of a shakeout to get the breakout and momentum traders out of the issue.

Over the past few months, investors have punished the stock on fears Apple (AAPL) is planning to step into its business with its own video camera after the iconic computer maker secured a patent for such a device. Additionally, as Business Insider reports, Xiaomi last month introduced a 16-megapixel point-of-view camera that could provide more competition to GoPro, which is down approximately 31% since the start of the year.

This article is commentary by an independent contributor. At the time of publication, the author held no positions in the stocks mentioned.

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