IPOs Are Back

There's new blood in the IPO pipeline.

After a sleepy January that saw just three new issues hit stateside exchanges, five companies made their Wall Street debuts in just the first three days of February.

More will come, obviously. Everyone's now picking sides on Facebook, and that's the kind of publicity that will draw even more potential debutantes into underwriter offices.

However, let's take a moment to reflect back on the five stocks that went public on Wednesday, Thursday, and Friday of last week.

  IPO 2/6/12
Cempra Holdings (Nasdaq: CEMP  ) $6.00 $6.24
Greenway Medical (NYSE: GWAY  ) $10.00 $13.50
Matador Resources (NYSE: MTDR  ) $12.00 $11.94
AVG Technologies (NYSE: AVG  ) $16.00 $13.03
U.S. Silica Holdings (NYSE: SLCA  ) $17.00 $16.35

Source: Hoover's

Cempra is a biotech hoping to get a pair of oral antibiotics on the market. It's one of the only two companies to close higher than its IPO price yesterday, but the company isn't exactly celebrating. Cempra was originally hoping to price its offering between $11 and $13 before settling for half as much.

Greenway provides physicians with electronic health records. It's the big winner from last week after seeing its stock pop 35% higher.

Matador is an oil and gas producer. The vast majority of its proved reserves are in natural gas which has been a tough market lately.

AVG is a Netherlands-based provider of antivirus software. It's the biggest loser of the five despite its healthy fundamentals. The rub for AVG was hitting the market at a steep valuation premium to established antivirus software rivals.

Finally, U.S. Silica Holdings is the country's second largest producer of silica that's used in solar panels and hydraulic fracturing. The stock is off to an uninspiring start, but investing in silica production holds longer-term promise.

So, keep the new issues coming. The market may not seem to be celebrating each and every arrival, but that's probably the best indicator that the open market isn't as frothy as bears may think.

If you're into new things, there's a new report detailing the only stock you need to cash in on the new technology revolution. The report is free, but it won't be around forever so check it out now.

Longtime Fool contributor Rick Munarriz calls them as he sees them. He does not own shares in any of the stocks in this story. Rick is also part of the Rule Breakers newsletter research team, seeking out tomorrow's ultimate growth stocks a day early.

Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.


Read/Post Comments (0) | Recommend This Article (0)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 1775177, ~/Articles/ArticleHandler.aspx, 9/16/2014 7:54:26 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...


Advertisement