OnDeck Shares Drop Again
The market continued to express their unhappiness with OnDeck on Tuesday by driving the stock down another 6% to $4.06. The stock had already fallen by 7% the previous day after OnDeck posted their quarterly report. Tuesday’s rout may have been caused by a profile published in the Wall Street Journal Monday evening that asserted that OnDeck was really a niche financial company rather than a revolutionary technology platform.
“At 1.2 times book value, it is now valued like a financial company and roughly in line with the average bank. This still looks a bit rich because it has no profits,” wrote WSJ’s Aaron Back.
The deBanked Tracker currently pegs OnDeck’s all-time performance as the worst of their peer group, down 80% since they went public in 2014.Last modified: May 10, 2017