Cloudera completed its long-anticipated IPO on Friday, closing up more than 20%, TechCrunch reports. Initially priced at $15 per share, Cloudera finished the day at more than $18 per share.
Following the debut, Cloudera's market cap reached $2.3 billion, offering a strong performance, though it is still below the $4.1 billion valuation the company received from Intel in 2014, according to the report.
As CNBC notes, Cloudera is trading at nine times its revenue in 2016. That is about triple the price-to-sales ratio offered by Hortonworks, a competitor in the space to commercialize the open source platform Hadoop, according to the report.
Cloudera offers tools and services based on Hadoop, the open-source software framework used for processing Big Data sets. Though the company has some strong competition, Cloudera appears uniquely qualified to help customers make sense of Big Data, an area that should see huge demand in coming years, or at least that is how the market is responding.
Cloudera also has a huge investor in Intel, and the legacy chip maker’s investment adds stability to the company. Intel has good reason to invest. Cloudera’s big data applications run on Intel servers, so success for Cloudera also means success for Intel.