The home-sharing service Airbnb (NASDAQ: ABNB) is set to begin trading on Thursday, December 10.
The initial filing indicated a share price of $44–50 per share. However, due to strong demand, the company is raising the share price to between $56–60.
This price hike comes on the heels of a similar announcement on Friday, December 4. The hotly anticipated IPO DoorDash (NYSE: DASH) hiked its price from $75–85 to $90–95 per share.
The COIVD-19 pandemic hit travel stocks hard. But with vaccines in view, investors are anticipating strong demand for travel in the coming year.
Airbnb is in a prime position to capitalize on the demand — offering travelers an opportunity to stay away from crowded hotels.
Both Airbnb and DoorDash expect to raise as much as $3.1 billion each in their respective IPOs this week.
2020 has been a blockbuster year for IPOs.
The previous record was set in 1999 at the height of the dot-com bubble when new IPOs raised $108 billion for the year.
2020 is expected to top $140 billion.
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