There are few things scarier to investors these days than recent dot-com IPOs.
There are certainly some refreshing exceptions, but many of the Web-fueled companies that have hit the market as publicly traded debutants over the past year have been colossal disappointments.
Could the tide be turning?
Several of the market's busted IPOs -- stocks that have fallen below their original price tag -- bounced back in a major way last week. Let's take a look at five of the more prolific Internet companies that came through with double-digit percentage gains this past week.
Sept. 14, 2012
Last Week's Gain
Source: The Wall Street Journal.
Millennial Media is the one name that's no longer officially a busted IPO. The fast-growing mobile advertising provider soared 25% last week, taking the stock back above March's IPO price of $13.
Groupon is still trading for roughly a quarter of last November's debutante price of $20. There are still concerns about the long-term viability of the daily deals space. However, the niche leader is enhancing its international operations as it tries to regain sequential growth in its bread-and-butter non-direct revenue.
Angie's List is a premium website where members pay for vetted reviews of local service providers. Angie's List has bounced back into the double digits.
Facebook gained ground after CEO Mark Zuckerberg revealed that his company has a team working on search. Given Facebook's sticky ways, this could be something huge.
Finally, we have Zynga. The social gaming leader may not have taken off the way that many of its peers did last week, but there's nothing shabby about a double-digit percentage pop for a stock that has shed more than two-thirds of its value.
Keeping the gains coming would be impressive, and it would also be the best thing that could happen to this cold IPO market.
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