Vacation Rental Site HomeAway Trades Higher After Stock Market Debut

HomeAway’s shares soared in its first day of trading on the Nasdaq, jumping 49.9 percent to close at $40.21 a share.

The company, which helps people book vacations around the world, raised $216 million at a $2.15 billion valuation.

In its first day of trading, the company’s stock, trading under the symbol “AWAY,” increased by $13.21 a share from its original price of $27 a share.

The Austin, Texas-based company operates one of the largest online vacation rental marketplaces under various brands, including VacationRentals.com and VRBO.com.

Unlike some of the more recent companies to file for an IPO, the company is profitable despite rapid growth rates.

In the first quarter, its revenues totaled $52 million, rising 44 percent compared to the year-ago period’s revenues of $36.1 million. The company recorded a profit of $1.5 million, reversing a loss of $803,000 in the same period a year earlier.

It hosts more than 560,000 paid vacation listings, and has increased its employee base from 87 employees in 2005 to 842 employee this year. Since 2005, it has acquired 17 companies.