What are LUPA Stocks?
Author: George Davis
LUPA stocks are companies that launched their IPOs in 2019 and belonged to the mobile app era. Read this blog post to learn about LUPA stocks.
Disruptive innovation has always been welcomed by stock exchanges with great hope and open arms. That is why companies like Lyft, Uber, Pinterest, and Airbnb have their abbreviation, “LUPA” the term was coined during the rise of the app economy. Previously, not many businesses that ran over mobile applications received much attention. However, LUPA stocks changed everything. In this blog post, we will share all the information you need about LUPA stocks. So keep reading to learn more!
What Are LUPA/PAUL Stocks?
LUPA stocks are the short form of 4 companies that started during the start of the mobile app era. These companies are also known as PAUL stocks because they include Pinterest. Airbnb, Uber, and Lyft. All four of these tech giants completed their IPO successfully and are now trading at their respective stock exchanges.
Understanding LUPA Stocks
When the mobile app era was not in full swing, startups based on apps and websites weren’t given much value. The start of LUPA companies gave rise to online business and contributed to the growth of digital marketing. Moreover, LUPA stocks often perform well on the stock market because these businesses are backed by strong investment firms like Venture Capital. The LUPA companies have become strong brands with customer loyalty and a positive brand image. Even today, the popularity and the market share of LUPA companies entice new investors into buying their shares.
Lyft is a popular San Francisco-based ride-sharing company founded as a competitor for Uber. After Uber was launched, Lyft took to the market and immediately started its business activities in the ride-sharing business because Lyft realized this was a disruptive innovation and had a strong demand-pull. The company completed its IPO launch in March 2019, and it’s still working on its mission to improve people’s lives with the world’s best transportation system.
Started as a brainchild of Kalanick and Garrett Camp, Uber soon gained a huge market share because it was the first business in its industry. Such innovation is known as a “blue ocean” strategy because the company didn’t have any competitors to steal its business. Even after the entry of Lyft, Uber still has a huge market share and customer loyalty. The company has expanded into different operations, breaking from pure-play stock to a diversified company. In May 2019, Uber went public, and its share prices have increased by 36% over the years.
One of the best accommodation apps started as a small business. The company was founded by Venture Capital, and now, Airbnb is a household name. The popular peer-to-peer lodging company has disrupted the travel industry with affordable housing solutions facilitating both the landlord and the person renting the apartment.
The popular photo-sharing app was launched in 2010 by Ben Silbermann, Paul Sciarra, and Evan Sharp. The company launched its IPO in April 2019, and its stock prices have increased by 20%. This photo-sharing social media app has headquarters in San Francisco but offices all over the world.
LUPA companies were all small businesses that saw tremendous growth thanks to rapid acceptance from the market. The demand-pull for Uber and Lyft was very strong because consumers were looking for passenger-friendly and affordable transportation solutions. On the other hand, Airbnb came out with a convenient accommodation platform, and Pinterest became the hottest photo-sharing platform. All these companies launched their IPO in the same year and started to be known as LUPA stocks.
1. Stride, Inc. (LRN)
2. Oaktree Specialty Lending Corp. (OCSL)
3. Babcock (BW)
Find the top stock picks with guidance on when to sell, buy and further information by subscribing to the PT Premium Service in the Proficient Trader App