Firefly Aerospace Stock Retreats After Strong IPO Debut

Firefly Aerospace's high-flying market debut proved short-lived as shares tumbled 13% to $52 on Friday, erasing more than half of Thursday's 34% first-day surge. The space technology firm's volatility highlights the precarious nature of recent IPO successes, even for companies like Firefly that have overcome bankruptcy and technical hurdles to land major government contracts.

The Texas-based rocket builder's $870 million offering joins a resurgent IPO market where Circle's stablecoin business and Figma's design tools have similarly captured investor enthusiasm. Renaissance Capital data shows 2024's $100M+ IPOs are delivering median first-day pops of 18%, outperforming new listings since 2021. The Renaissance IPO ETF's 12% YTD gain nearly doubles the S&P 500's return, signaling renewed appetite for growth equities.