Instacart Extends Post-IPO Slump Even as Analysts Tout Valuation
- Stock got nine buy ratings after a lukewarm reception post-IPO
- Ad business is ‘profitability driver’ that can’t be matched
Photographer: Tiffany Hagler-Geard/Bloomberg
This article is for subscribers only.
Instacart opened the week with several positive reviews from Wall Street, overcoming what seemed to be a hard-to-please crowd that cautioned on potential headwinds. But the better ratings did little to lift shares.
America’s largest grocery-delivery company, incorporated as Maplebear Inc., fell 2.4% in New York on Monday as the so-called quiet period for analysts at firms that participated in its initial public offering came to an end. After receiving a lukewarm reception following its IPO in September, with zero analysts recommending investors buy the stock, Instacart now has nine buy ratings, seven holds and one sell.