Bankrate stock swings on first day of trading
Shares of mortgage rates provider Bankrate (RATE) fell nearly 7% in the early hours of its second day of trading. Bankrate pulled back through the day, however, and closed Friday's trading up 2%. Bankrate Chief Executive Tom Evans told CNBC he is not concerned by the swing in the stock's performance. "We're building a business over time, how it trades in the first hour or the first day is really not what we are focused on at this time," he said. "We just raised our rates for our mortgage tables 20% effective July 1," he later added. "There is more demand then there has ever been before on the part of marketers trying to find consumers who can qualify for these products. And that's what Bankrate does. The Bankrate initial public offering raised $300 million by offering 20 million shares at $15, within the range of $14 to $16, according to Renaissance Capital. Goldman Sachs (GS), BofA Merrill Lynch(BAC), Citi (C) and JPMorgan (JPM) acted as lead managers on the deal. The most recent Bankrate.com monthly survey report showed interest rates for a traditional mortgage fell to a seven-month low. For the week second week of June, mortgage rates hit 4.65% down from 4.69% the prior week and 4.88% a year earlier. The firm reported mortgage rates for a 15-year, fixed mortgage declined to 3.79% from 3.88%. Write to Jacob Gaffney. Follow him on Twitter @JacobGaffney.