Young Research & Publishing Inc.

Investment Research Since 1978

Disclosure

  • About Us
    • Contributors
    • Archives
    • The Final Richard C. Young’s Intelligence Report
    • You’ve Read The Last Issue of Intelligence Report, Now What?
    • Dick Young’s Research Key: Anecdotal Evidence Gathering
    • Crisis at Vanguard
  • Investment Analysis
    • Bonds
    • Currencies and Gold
    • Dividend Investing
    • ETFs & Funds
    • Investment Strategy
    • Retirement Investing
    • Stocks
    • The Efficient Frontier
  • Investment Counsel
  • Dynamic Maximizers®
  • Retirement Compounders®
  • Free Email Signup
  • Dick Young’s Safe America

Is Booming IPO Market a Sign of Market Froth?

July 3, 2018 By Jeremy Jones, CFA

By Cheryl Casey @ Shutterstock.com

The WSJ reports that the IPO market is booming. There have been 120 companies that have raised $35.2 billion in the first six months of 2018. That’s the fourth-busiest six-month period on record. And that’s not even counting initial coin offerings (ICOs) which are booming as well even as bitcoin prices plummet.

Rising IPO volume isn’t necessarily a predictor of a market top, but it should be viewed as a signal of caution.

“Our global IPO pipeline is stronger now than it’s been since the financial crisis,” said Evan Damast, global head of equity and fixed income syndicate at Morgan Stanley .

Companies that have gone public in the U.S. this year are trading, on average, 22% above their IPO price, and technology companies have done particularly well, up 53% above their IPO price, according to Dealogic data through Thursday’s close of trading. Meanwhile, the S&P 500 rose less than 2% for the year and the tech-heavy Nasdaq Composite climbed 8.7%, during the same period.

“This year we’re finding the investor demand for technology IPOs is literally the highest we’ve ever seen both in terms of the quantity and quality of interest,” said Madhu Namburi,JPMorgan Chase & Co.’s head of technology investment banking.

Read more here.

Share this:

  • Email
  • Twitter
  • Facebook

You Might Also Like:

  • Oil Market Turbulence
  • Job Market Booms
  • A Record Breaking Stock-Market
  • Author
  • Recent Posts
Jeremy Jones, CFA
Jeremy Jones, CFA, CFP® is the Director of Research at Young Research & Publishing Inc., and the Chief Investment Officer at Richard C. Young & Co., Ltd. Richard C. Young & Co., Ltd. was ranked #10 in CNBC's 2019 Financial Advisor Top 100. Jeremy is also a contributing editor of youngresearch.com.
Latest posts by Jeremy Jones, CFA (see all)
  • Corporations Rush to Reap Equity Windfall - January 22, 2021
  • Investors Are Being Conditioned Not To Recognise the Danger - January 21, 2021
  • What Is the Stock Market’s Link to the Economy? - January 20, 2021

Search Young Research

Most Popular

  • The Fed is Sacrificing Retirees to Save the Banks
  • Dick Young’s Safe America: Chapter 1, Part I
  • I’ve Been in Richard Young’s Maximizers for Years
  • Vanguard Wellesley (VWINX) vs. Wellington (VWELX): Which Fund is Best?
  • The Power of a Compound Interest Table
  • Whether Through Audacity or Ignorance, Stock Fundamentals Are Being Ignored
  • The Highest Yielding S&P 500 Stocks
  • Smith Family Robinson in Live Free or Die, NH
  • Jim Simons's Renaissance Technologies vs. Internet Forum Traders
  • February RAGE Gauge: Americans Focusing on What's In Front of Them

Don’t Miss

Default Risk Among the Many Concerns with Annuities

Risk and Reward: An Efficient Frontier

How to be a Billionaire: Proven Strategies from the Titans of Wealth

Could this Be the Vanguard GNMA Winning Edge?

Cryptocosm and Life After Google

Warning: Avoid Mutual Fund Year End Distributions

Is Gold a Good Long-term Investment?

How to Invest in Gold

Vanguard Wellington (VWELX): The Original Balanced Fund

What is the Best Gold ETF for Investing and Trading?

Procter & Gamble (PG) Stock: The Only True Dividend King

The Dividend King of the North

You’ll Love This if You’re Dreaming of an Active Retirement Life

RSS The Latest at Richardcyoung.com

  • Absentee Ballots Not Verified
  • SARS-CoV-2: Probability of Outdoor Airborne Transmission Very Low
  • Your Personal Safety: Concealed-Carry How to Carry Your Freedom
  • Mostly Peaceful, Ungovernable Protestors
  • Biden’s Inaugural, the Most Confusing, Contradictory, Incoherent Ever?
  • Is the GOP Over? Not Even Close: Here’s Why
  • Impeaching an Ex-President is Unconstitutional
  • Ten Republican Senators to Get Behind
  • Why Do Government Officials Want To Silence Their Opponents?
  • And 2022 Is Right Around the Corner

About Us

  • About Young Research
  • Archives
  • Contributors

Our Partners

  • Richard C. Young & Co.
  • Richardcyoung.com

Social Media

  • Facebook
  • Twitter
  • Youtube
  • Pinterest

Copyright © 2021 | Terms & Conditions

loading Cancel
Post was not sent - check your email addresses!
Email check failed, please try again
Sorry, your blog cannot share posts by email.