Who owns Bumble and why is the share price going up?
DATING app Bumble has seen share prices soar as investors fall in love with the dating app just ahead of Valentine’s Day.
The company, which was launched in 2014, began selling shares publicly through the NASDAQ stock exchange in New York City on Thursday.
After the first day of trading, the company was valued at more than $9.4bn ($13 bn), according to the .
The Wall Street success has reportedly made 31-year-old CEO and founder Whitney Wolfe Herd one of the world’s few self-made female billionaires.
She's also become the youngest woman ever to take a company public.
Similar to Tinder, Bumble lets users swipe right on someone they’re interested in and left on someone they’re not.
But in 2019, Andreev sold his entire stake in MagicLab - the umbrella company that owned Badoo and Bumble - to the Blackstone Group with the deal valuing MagicLab at £2.1bn ($3bn).
But remember Bumble shares have been trading at around £55 ($76) so you’ll have to fork out at least £26.70 ($37) of your own money if you want to buy your first share and the full £55 a piece from then on.
If you're a beginner, look for a platform with low commissions, expert ratings and investment tools to track your portfolio.
You will then need to complete an application for the trading platform with your personal and financial details, like your ID and bank information.
Next you can find the stock by name or ticker symbol by searching “BMBL”.
What are the risks of investing in Bumble?
Before buying shares in any company, you should always research its history to determine whether it’s a solid investment.
Remember investing is essentially gambling and there are no guarantees that you will see what you pay in go up.
Any fall in share price means that you'll likely make a loss.
Meanwhile, highs don't last forever and often a short squeeze ends in prices dropping back to where they were before, although after how long varies.
Susannah Streeter, senior investment and markets analyst, Hargreaves Lansdown said the Bumble as an investment propect is "full of promise" with it still being in the early stages of global expansion.
“The growth in paying users will be key and between them Bumble and Badoo had around 2.4 million paying users in September 2020," she added.
Streeter also said that Bumble has chosen to launch before Valentine's Day to capitalise on the romance buzz around the February 14th.
She also said that the company will be likely counting on a surge of people starting to date again when lockdowns ease.
But Streeter said that investors should "still exercise some caution about Bumble."
She warned that the prices which have soared from the momentum on the first day may quickly drop so that investors could end up losing out.
For more on trading, we’ve explained the six things you need to know about GameStop.
READ MORE SUN STORIES
Brits are being warned they risk losing all of their money if they invest in bitcoin and other cryptocurrencies.
We also reveal how someone who starts investing £78 a month at the age of 22 could have more than £1million if they keep it up until they turn 65.