Category Archives: The IPO Buzz

 

By: John E. Fitzgibbon, Jr.

 

One deal on this week’s IPO calendar strikes at the very heart of investing. There can be a difference between a company’s fundamentals and the price of its common stock. Sometimes they come together — sometimes they don’t.

 

By: John E. Fitzgibbon, Jr.

 

The IPO market cruises into June with just two deals on this week’s calendar. None of the IPO experts are looking for opening-day moonshots. Nevertheless, the summer months of June, July and August can be busy. And given last week’s filings, it could be interesting.

 

 

By: John E. Fitzgibbon, Jr.

 

Benjamin Franklin’s famous quote “Life’s tragedy is that we get old too soon and wise too late” is especially apropos for last week’s IPO market. After sharp cuts in offering terms, the deals surged in the face of a collapsing stock market. There could be a message wrapped up inside this leading question: Have the bankers learned anything?

 

 

By: John E. Fitzgibbon, Jr.

 

The old Wall Street axiom says that when people are thinking one way, look the other. In today’s IPO market, people have been badmouthing Goldman Sachs. What’s more, bankers have been overpricing their deals. And some Wall Street pros are swearing they’ll avoid private-equity IPOs.

 

By: John E. Fitzgibbon, Jr.

 

There’s something to be said about a 1,000-point plunge in the Dow Jones Industrial Averages. It became the lead story for the media and quickly underscored the flaws in Wall Street’s trading system. Nevertheless, we’ve been there before – overextended debt, a cause of today’s worries, and overtrading. Look back 137 years and consider the following article: “The only thing new is the history we don’t know.”

 

 

By: John E. Fitzgibbon, Jr.

 

In case you haven’t noticed, 2010’s IPO traffic is building. In April, 14 new issues were priced. The last time more came to market in a single month was in December 2007 with 23 deals. April’s IPO calendar raised nearly $2 billion. In addition, another 33 companies filed to go public to raise nearly $7 billion.

 

 

 

 

By: John E. Fitzgibbon, Jr.

 

Wall Street is a numbers game. Stocks are quoted in numbers, their indexes are defined by numbers and the IPO traffic is calculated in numbers. By the end of the first quarter of 2010, the new-issues numbers confirm the trend cited by the financial media: IPOs are back in town.