Coming back to Cloudera, it hasn’t added much shareholder wealth. The company priced its IPO at $15 per share in 2017. Before the buyout offer, it was trading below the IPO price. Even the buyout price is only $1 above the IPO price.
Intel paid $30.94 per share for Cloudera in 2014 and the IPO was eventually priced at less than half of what Intel paid. Cloudera has been plagued by weak financials and tepid growth. However, the financials have been improving.
In the fiscal year ended January 31, 2021, the company’s revenues increased 9 percent, while its operating profits increased to 17 percent. Its fiscal first-quarter revenues also increased 7 percent YoY. However, markets don’t seem too impressed with the performance and the stock is down 8 percent until the end of May, while the S&P 500 is up sharply during this period and trading near all-time highs.
View more information: https://marketrealist.com/p/what-happens-to-cloudera-stock-after-buyout/