ChowChow Cloud International Holdings Limited (CHOW) experienced a sharp reversal in after-hours trading on Tuesday, with shares plummeting 7.38% following a remarkable debut on the New York Stock Exchange. The sudden drop came after the stock had surged approximately 200% during regular trading hours, marking a volatile first day for the newly public company.

Earlier in the day, ChowChow Cloud made a splash in its market debut, opening at $8 per share and climbing as high as $11.98, representing a nearly 200% increase from its initial public offering (IPO) price. The cloud technology company had priced its IPO at $4 per share, offering 2.6 million shares for gross proceeds of $10.4 million. The offering, which included a 45-day option for the underwriter to purchase up to 390,000 additional shares to cover overallotments, was expected to close on Wednesday.

The significant after-hours decline could be attributed to profit-taking by early investors capitalizing on the stock's impressive intraday gains. Additionally, the drop may reflect a market correction as enthusiasm surrounding the IPO cools and investors reassess the company's valuation. As ChowChow Cloud enters its second day of trading, market participants will be closely watching to see if the stock can stabilize or if the after-hours volatility will persist.