Chime Stock (CHYM) Rockets 52% in Explosive Market Debut—Wall Street Scrambles

Chime just dropped a moonshot on its first trading day—and left traditional finance clutching their pearls.

The numbers don''t lie: A 52% surge isn''t just a win, it''s a middle finger to the ''play it safe'' crowd. The fintech upstart''s stock (CHYM) torched expectations while legacy banks muttered about ''overvaluation'' between sips of their $8 artisan coffee.

Why this matters: When disruptors pop 50% out the gate, it''s either genius or gambling. Spoiler: The suits always call it gambling... until they FOMO in.

One cynical footnote: Watch how fast the same analysts who called it ''bubble behavior'' pivot to ''long-term growth story''—probably right after their bonus checks clear.

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Chime had priced its initial public offering (IPO) at $27 per share, which is above the expected range. The IPO price values the online bank at $11.60 billion. Chime said that it raised $700 million from the IPO, with another $165 million of shares being sold by pre-IPO investors. The stock is trade on the Nasdaq under the ticker symbol “CHYM.”

Chime is the latest in a series of companies to IPO in recent weeks. Online trading platform eToro (ETOR) and crypto stablecoin issuer Circle (CRCL) each recently held successful IPOs. The market debut of Chime comes despite a recent cut to its valuation of $25 billion.

Litmus Test

Wall Street analysts say that Chime’s IPO will serve as a litmus test of investor appetite for consumer-facing finance companies and new stock issuance in general. Chime’s Core business is providing no-fee banking services, debit cards, and early paycheck access.

The company gets most of its revenue from interchange fees and competes against other fintech companies such as PayPal (PYPL) and SoFi Technologies (SOFI). Chime has reported that its revenue in the latest quarter climbed 32% year-over-year to $518.7 million, while its net income narrowed to $12.9 million from $15.9 million a year earlier.

Is PYPL Stock a Buy?

The stock of PayPal has a consensus Moderate Buy rating among 32 Wall Street analysts. That rating is based on 13 Buy, 16 Hold, and three Sell recommendations issued in the last three months. The average PYPL price target of $79.93 implies 7.13% upside from current levels.