StubHub’s Stock Plunges 10% as IPO Fizzles - Here’s Why Traditional Markets Keep Missing the Mark

StubHub's market debut tanks—dropping a brutal 10% out the gate while legacy investors scratch their heads. Another traditional IPO proving that Wall Street's playbook needs a serious update.

THE NUMBERS DON'T LIE

That 10% nosedive tells you everything—mainstream finance still can't price innovation properly. Meanwhile, crypto projects launch with instant liquidity and global access, bypassing the gatekeepers entirely.

WHY THIS MATTERS FOR CRYPTO

Every failed traditional IPO pushes more capital toward decentralized alternatives. Smart money's already shifting—why wait for banker approval when you can back protocols that actually disrupt?

StubHub's stumble isn't just bad luck—it's another sign that legacy finance is playing checkers while crypto plays 4D chess. But hey, at least the bankers got their fees.

Elevate Your Investing Strategy:

• Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.

STUB stock finished trading on Sept. 19 at $18.46 per share. That’s 21% below its initial public offering (IPO) price of $23.50, which it set on Sept. 17 when the company made its market debut. StubHub is the latest company to see its share price quickly fall after its IPO.

Cryptocurrency exchange Gemini (GEMI), which went public earlier in September, has seen its stock plunge 25% since its IPO. Analysts say the disappointing performance could be an indication of investor fatigue following a slew of high-profile IPOs in recent months.

IPO Glut

In addition to StubHub and Gemini, there have been a glut of IPOs held since the start of summer, including online lender Klarna (KLAR), design software company Figma (FIG), and stablecoin issuer Circle Internet Group (CRCL). There have also been dozens of smaller IPOs held.

Analysts say that companies are rushing to come to market with stocks at all-time highs. They add that there is a considerable backlog of new stock issuance as the IPO market was effectively frozen during and after the 2022 bear market that was caused by high interest rates.

For its part, StubHub had been trying to go public for several years, but delayed its IPO twice. The most recent delay came in April after U.S. President Donald Trump’s announcement of sweeping tariffs roiled financial markets. Founded in 2000, StubHub primarily generates revenue from connecting buyers with ticket resellers.

Is CRCL Stock a Buy?

It’s too early for analysts to have ratings on StubHub’s stock. So instead, we’ll look at the performance of another recent IPO, Circle Internet Group. As one can see below, the stock of Circle has a consensus Hold rating among 16 Wall Street analysts. That rating is based on seven Buy, six Hold, and three Sell recommendations issued in the past three months. The average CRCL price target of $186.53 implies 29.41% upside from current levels.