Demand Media Stock Ticker Is One to Watch

User-generated content & “content farms” have a spotlight on them now thanks mostly to Demand Media’s recent IPO. Few people knew how the IPO would go, considering Demand Media has never turned a profit and will not likely do so for quite some time. Many who understood search, were also worried that a simple change in Google’s algorithm could¬†severely¬†damage the company.

Demand Media IPO & Ticker Symbol

Demand Media Ticker SymbolDemand Media’s stock ticker is DMD and it is listed on the NYSE. The IPO offering was 8.9 million shares. Demand sold 4.5 million shares at $17 per share and existing shareholders sold another 4.4 million. Overall, Demand should see about $67 million from the sale.

After the first day on the market, DMD shares ended at $22.65, netting an immediate 33% return for those who were part of the IPO purchase.

Demand’s Valuation Higher then the NYT

Crazy that Demand Media is now valued at $1.5 billion, making it bigger then the New York Times. The New York Times is an old media company that produce high quality content. Demand Media is a new, sophisticated, publisher that harnesses user-generated content (for pay), but often puts out low quality content.

Demand Media’s IPO is the largest internet-related IPO since Google’s in 2004. This will certainly shine a spotlight on Internet content creation, content farms, and user-generated content. Should be fun to watch!

About these ads
This entry was posted in UGC News. Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s