The Initial Public Offering market has been under intense scrutiny in the recent past, since Facebook Inc (NASDAQ:FB)’s botched IPO drained investors of more than 50% of their investment. However, according to a report published by Chris Dieterich, of Wall Street Journal, there are four IPO’s that have overcome the odds and the skepticism in the market to notch more than a 20% rally each, in their post IPO trading.
Realogy Holdings Corp (NYSE:RLGY) is up 26%, or $7.20 per share, to trade at $34.20 in post IPO trading, from $27.00 per share pricing ,used to raise $1 billion worth of capital from the public. Another company that is rallying on its post IPO trading is SHUTTERSTOCK INC COM USD0.01 (NYSE:SSTK), a company that licenses photo images, and is reportedly up 27.41%, or $4.66 per share, to trade at $21.66.
Lee Ainslie's Maverick Capital had a difficult third quarter, although many hedge funds did. The quarter ended with the S&P 500's worst month since the beginning of the COVID pandemic. Q3 2021 hedge fund letters, conferences and more Maverick fund returns Maverick USA was down 11.6% for the third quarter, bringing its year-to-date return to Read More
Kythera Biopharmaceuticals Inc (NASDAQ:KYTH) was the lowest gainer among the quartet, up about 20% during the late hours of trading, while Intercept Pharmaceuticals Inc (NASDAQ:ICPT), was the biggest gainer of them all, at 29.33%, at the time of this writing, the pharma company was trading at $19.40 per share, up $4.40.
This seem to have restored some level of confidence in IPO’s, following Facebook Inc (NASDAQ:FB)’s disappointing experience for investors, who jumped at the social network giant’s prohibitively priced IPO, without taking a second thought. Recently, Manchester United PLC (NYSE:MANU) also issued stock in an IPO, and investors rushed, but now, the stock is down $1.14, from its IPO price of $14 per share.
The social media market leader is currently nearly 50% down at its market price of $19.75 per share and could still plunge further, as the lock-up releases, as expected to flood the market, with employees looking to redeem as much as they can, before everything falls apart.
Notwithstanding, it is important to note that Facebook Inc (NASDAQ:FB) did register a price of $42 per share on the first day of trading; therefore, it still remains to be seen how the two pharma companies listed at NASDAQ Stock exchange, along with their NYSE counterparts, will fare out in the coming few days.
Tomorrow will also mark the first day of trading for shares of Sears Hometown & Outlets Inc. (NASDAQ:SHOS), and investors will be on the lookout, to see how this shapes out.