Jun 26, 2014, 8:30 am EDT
The prospects for IPOs didn’t look bright at the start of the second quarter. Small-cap stocks hit a great deal of turbulence, especially in the go-go biotech and cloud industries.
In fact, to get new stocks off the ground, Wall Street investment banks had to lower the price ranges on IPOs and cut back on the number of shares being offered.
Somewhere in the middle ground of banks’ tactics working and fears being overblown, Q2 turned out to be a standout one for new stocks. We saw 65 public offerings during the period, and they posted an average return of nearly 25%. Among these new stocks, only 19 generated negative returns. Read
Jun 25, 2014, 1:39 pm EDT
For the past few years, we’ve seen a lot of buzz over the prospects for a public stock offering of SpaceX, a spacefaring venture that makes and launches the Dragon spacecraft and Falcon launch vehicles to transport cargo and deliver satellites for clients including NASA, the US Military and private sector companies.
However, perhaps the reason most people want to see a SpaceX IPO is because it’s one of the many brainchildren of Tesla (TSLA) CEO Elon Musk, who has consistently made huge returns for stock investors since the late 1990s.
The Power of Musk
A bit of background: Early in his career, Elon Musk built Zip2, one of the first Internet-based city guides, which he later sold for roughly $340 million in cash and options to Compaq. He then launched X.com and merged it with PayPal, which then became the top player in online payments space and was sold to eBay (EBAY) for $1.5 billion. Read
Jun 25, 2014, 1:37 pm EDT
Look out GoDaddy IPO hopefuls, and step aside Web.com Group (WWWW). Google (GOOG) is about to step on your turf.
And if Google does what it plans to do with Google Domains the same way Google does everything else it does … the world’s most recognizable name in web search could be a disruptor within yet another industry.
As of Monday morning, GOOG stock owners have a hand in the domain registration industry, via Google Domains. And the business is relatively straightforward. Read
Jun 25, 2014, 12:20 pm EDT
El Pollo Loco, a chicken restaurant based in Mesa, Calif., has registered for an initial public offering (IPO).
El Pollo Loco’s goal with its IPO is to raise money to pay off $100 million of debt. The company wants to use the ticker symbol “LOCO” on the Nasdaq Global Select Market. The company hasn’t mentioned how much stock would be part of the IPO, but it will be common stock, reports Nation’s Restaurant News.
As part of its filings with the Securities and Exchange Commission, El Pollo Loco reported that it has had 11 consecutive quarters with same-store sales growth. The company has also reported that it has seen total revenue increase 15% from 2011 to its most recent quarter. It also reported net income of $5.5 million during this quarter, Nation’s Restaurant News notes. Read
Jun 23, 2014, 12:33 pm EDT
Last week showed that the IPO market is in pretty good shape, with 10 new stocks hitting the market. There was also renewed strength from the riskier biotech sector. Kite Pharma (KITE) surged by 71% and ZS Pharma (ZSPH) posted a gain of 58%.
As for the current week, the good times seem likely to continue. Consider that there are 14 IPOs on the calendar for this week (as well as a holdover from last week, Syndax Pharmaceuticals).
So let’s take a look at the new stocks to watch for this week: Read
Jun 20, 2014, 6:00 am EDT
GoPro, the developer of the popular HD action-sports camera, plans to issue 17.8 million shares at a range of $21-$24. Assuming the deal gets done at the mid-point, the company will sport a valuation of about $3.4 billion.
So what should investors expect? Is this a deal to buy or avoid? To get a better sense, let’s take a look at the background of the GoPro IPO.
Back in 2002, while surfing in Australia, Nick Woodman wanted to take photos and videos while on his board. But with existing cameras, it was just too expensive and complicated. He saw this as a huge opportunity and wasted little time in building GoPro cameras. Read