Haoxin Holdings Ltd (HXHX) experienced a significant setback during its Nasdaq debut on Tuesday, with shares plummeting 19.66% in intraday trading. The newly listed stock fell well below its initial public offering (IPO) price, disappointing investors on its first day of trading.

The company had priced its IPO at $4 per share, offering 1.75 million Class A ordinary shares to raise gross proceeds of $7 million. However, despite an early surge to $6.29, the stock quickly lost ground, touching a low of $3.20 during the session. Trading volume was robust, exceeding 6.84 million shares, indicating high investor interest despite the negative price action.

Haoxin Holdings plans to use the IPO proceeds for various growth initiatives, including the purchase of new vehicles, pursuit of acquisitions, and upgrading its IT systems. The company's underwriters have a 45-day option to buy up to an additional 262,500 shares at the IPO price. Despite the disappointing debut, the IPO is expected to close on Wednesday, leaving investors and market watchers to speculate on the stock's future performance in the coming days and weeks.