Birkenstock's Underwhelming IPO Debut Reflects Global Empire's Bet

German sandal maker Birkenstock's stock ended more than 12% below its IPO price in its underwhelming Wall Street debut, signaling investor caution towards new listings. The shares started trading at $41, below the IPO price of $46, and closed at $40.20, down 12.61%. This marks the worst debut by a company worth over $1 billion in nearly two years. The weak performance follows the lackluster market debuts of other high-profile companies, indicating weak investor demand and questioning the valuations of these companies. Despite the disappointing debut, Birkenstock still has a market capitalization of over $8 billion, double the amount at which L Catterton acquired a majority stake in the company in 2021.