Shares in technology company Fitbit have risen more than 50% on their first day of trading on the NYSE.
The seven-year-old company is known for its smart devices that can be worn on the wrist and track a user’s movements, measuring activity and fitness levels.
Its initial IPO was $20 a share, which rose rose by over 50% to $30.04 in the early hours of trading. The company have raised $732m through the share sale.
Whilst a small rise in first-day trading is generally expected of newly listed companies, a jump as large as this is a trading debut is unusual; the average first-day rise for U.S.listed IPOs so far this year is 14%, according to Dealogic.
Fitbit has been the most highly anticipated IPO of the year, however there are suggestions that its success may be short-lived; similar products such as Mi-band from the Chinese smartphone marker Xiaomi, as well as Apple’s iWatch, will provide strong competition.
“What remains to be seen is how Apple’s arrival will change the landscape,” said
Ramon Llamas from IDC. “The Apple Watch will likely become the device that other wearables will be measured against, fairly or not. This will force the competition to up their game in order to stay on the leading edge of the market.”