(Bloomberg) — Sacks Parente Golf Inc.’s shares plummeted 85% Wednesday, erasing almost all of the big first-day gains that made it the strongest US stock-market debut of 2023.
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Shares of the company, which makes golf equipment including $400 putters, closed at $4.47 Wednesday. That eliminated most of the Tuesday rally that pushed the stock up 624% from the $4 initial offering price.
The retreat extends the volatile trading that marked Sacks Parente’s first trading day, with the stock halted at least five times during Wednesday’s session because of the degree of the price moves.
Read more: Peddler of $400 Putters Becomes 2023’s Best IPO With a 624% Gain
Even with the losses, the company is trading above its IPO price. The listing is the latest sign of rebounding interest in new stock listings, following the IPOs of consumer companies such as Oddity Tech Ltd., parent of SpoiledChild and Il Makiage, and the fast-casual chain Cava Group Inc.
Still, Sacks Parente’s roughly $63 million stock-market value dwarfs its $190,000 of sales from last year. By comparison, competitor Topgolf Callaway Brands Corp. was valued at about $3.1 billion at Tuesday’s close but brought in nearly $4 billion in annual revenue. Similarly, Acushnet Holdings Corp. had a market capitalization of $3.6 billion at Tuesday’s close and $2.3 billion in 2022 sales.
(Updates stock moves at market close)
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