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Photo: Ohannes Eisele/AFP/Getty Images

Uber's IPO stalled out yesterday, stunning both Silicon Valley and Wall Street.

Details: The ride-hail giant priced shares near the bottom of their range on Thursday night. They opened even lower on Friday morning before falling again by market close. In all, Uber lost nearly $6 billion in market cap in its first five hours as a public company.

No, this is not normal for a highly anticipated IPO.

Uber got hit by a confluence of negative events, some of which were outside of its control:

  • The Dow was already down more than 300 points before Uber's first trade, due largely to President Trump's imposition of higher tariffs on Chinese imports. Stocks recovered later on, but investor sentiment was lousy during the time when an IPO would typically pop.
    • Maybe Trump played the long revenge game on Uber, after it snubbed him just days into his presidency.
  • The world is a vampire. North Korea. Iran. Venezuela. Pick your geopolitical poison.
  • Uber went public at the end of the stock market's worst-performing week of 2019.
  • Lyft already had investors running scared, having earlier in the week reported disappointing Q1 results and warning that 2019 would represent "peak losses."
  • Ride-hail driver strikes on Wednesday didn't seem to have much impact on car availability, but they did raise awareness and prompted tweets from several presidential candidates.
  • Unwelcome attention after Axios first reported that Uber founder and ex-CEO Travis Kalanick wanted to help ring the bell but was relegated to the NYSE floor by current CEO Dara Khosrowshahi.
    • Kalanick watched the bell-ringing with his father from a side balcony before heading a block away to celebrate with early Uber colleagues at The Bailey Restaurant NYC.
  • Uber and Lyft recently ramped up their rider discount offers, prompting overheard talk in the NYSE hallways about artificially-inflated numbers. The discounts could obviously continue, but that wouldn't help ride-hail get closer to profitability. Speaking of which...
  • Uber loses more money than any other company to ever go public. It's the sort of thing that everyone ignores until they don't.
    • Uber has argued that it's the next Amazon, which also spent years in the red without an apparent path to profitability.
    • Investors either didn't agree, or figured they could wait for the numbers to improve. Or perhaps until Uber finds its own Amazon Web Services (flying taxis?).

But, but, but: IPOs are just a moment in time, and Uber has still managed become a $76 billion company in less than a decade. Facebook gained just 23 cents on its IPO day before spending 15 months below its IPO price; now it's the world's fourth most valuable company.

Uber's IPO ran into the perfect storm. Other money-losing unicorns and minotaurs will now watch closely to see if it can navigate into calmer waters, or if they need to begin scrambling for life vests.

Go deeper

Mike Allen, author of AM
34 mins ago - Politics & Policy

Ohio upset's '22 clues

Shontel Brown campaigns with Rep. James Clyburn in Cleveland on July 31. Photo: Michael M. Santiago/Getty Images

An upset in Ohio on Tuesday night is giving moderate, Biden-aligned Democrats momentum vs. the party's vocal left ahead of next year's midterms.

Driving the news: In a special primary for U.S. House in the Cleveland area, Cuyahoga County Council member Shontel Brown pulled out a surprise victory for the Democratic establishment in Cleveland.

2 hours ago - Health

New York City revives vaccine passports

Illustration: Aïda Amer/Axios

New York City yesterday became the first city in the U.S. to require proof of coronavirus vaccination for indoor dining and other leisure activities, a measure popular among public health experts but previously squashed by political backlash to "vaccine passports."

Why it matters: Employers and now local governments are starting to ensure that remaining unvaccinated will have consequences for everyday life, testing the resolve of those who say nothing could persuade them to get a shot.

Updated 2 hours ago - Sports

Olympics dashboard

Sakura Yosozumi during women's park skateboarding at the Olympics on Aug. 4, 2021. Photo: Ulrik Pedersen/NurPhoto via Getty Images

🤼🏿‍♀️ "Making history": Mensah-Stock first Black woman to win Olympic wrestling gold

🛹: 2 teens and girl, 12, sweep board at women's park skateboarding

🥇: Sydney McLaughlin breaks own world record to win gold in 400m hurdles

📈: Simone Biles' exit brings global attention to mental health

🦠: Greece's artistic swimming team to miss Olympics after COVID outbreak

🏃🏾‍♂️: Tampa teen phenom Erriyon Knighton eyes gold in Tokyo

🛫: Belarus sprinter Krystsina Tsimanouskaya departs Tokyo for Vienna

.📷: In photos: Tokyo Olympics day 12 highlights

Go deeper: Full Axios coverage