You know that the market is hopping when we get not just one, but two IPOs during the same week. SolarWinds
Each deal priced above its initial pricing range, and still headed higher. In fact, OpenTable's 59% pop on Thursday is the strongest first-day gain on an IPO since 2007.
It's still a pretty rare sight these days to find two companies making their Wall Street debuts during the same week. It was a pretty scary drought when the bear was growling a few months ago. There wasn't a single IPO during the months of December and January.
As long as the market appears stable, this year's trickle of mostly successful IPOs may eventually turn into a gusher. Underwriters can certainly use the business. Investors shouldn't mind the wider selection of available investments.
Briefly in the news
And now let's take a quick look at some of the other stories that shaped our week.
- Consolidation is alive and well. Data storage giant NetApp
(Nasdaq: NTAP) will be snapping up Data Domain(Nasdaq: DDUP) in a $1.5 billion deal. So, yes, even though stock prices have moved nicely higher since mid-March, companies with cash to spend are still liking today's prices. - There are signs that the housing industry is bottoming out, but if you want to see actual growth you may want to check on China. E-House
(NYSE: EJ) helped broker $1.5 billion in transactions this past quarter, 88% ahead of what the agency lined up a year ago. -
Sirius XM Radio
(Nasdaq: SIRI) is hoping that it can woo more subscribers to pay up for its "best of" offering, where XM or Sirius subscribers pay $4 more a month to hear the most popular programming from the other service. From now through Memorial Day, Sirius is beaming its Howard 100 and Howard 101 channels to active XM receivers. Those are the two magnetic channels starring Howard Stern, naturally. It's a good move for the satellite radio operator, since it bears little cost but can have material upside if the tease is effective.
Until next week, I remain,
Rick Munarriz
