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Forbes… "Why WeWork Won't Work – Hello, Neumann!"
Bloomberg… "Endeavor Makes Last-Minute Call to Yank IPO as Conditions Sour."
The mainstream financial media is clearly having a bearish moment when it comes to initial public offerings (IPOs). In story after feature story, you're bombarded with the idea that anyone who's excited about a big-name IPO is just setting themselves up for disappointment.
On paper, that narrative makes sense. WeWork's attempt at a $47 billion debut was farcical; its valuation plummeted to $14 billion before the offering was abandoned… and the CEO fell on his sword.
Then there's Peloton Interactive Inc. (NASDAQ: PTON). Shares dropped 11.2% in its first day of trading on Sept. 26 – a decline that, according to The Wall Street Journal, directly influenced the decision of Endeavor Group talent firm to put off its own IPO. Insiders were obviously terrified of "poor market conditions."
But these were simply two bad IPOs, two expensive failures that had Wall Street wringing its hands.
The truth is tech and life sciences firms are still IPO leaders; that segment of the market is actually doing much better than stocks overall.
And if you snatch up the shares I'm about to recommend, you'll be ahead, too…
About the Author
Michael A. Robinson is a 35-year Silicon Valley veteran and one of the top technology financial analysts working today. He regularly delivers winning trade recommendations to the Members of his monthly tech investing newsletter, Nova-X Report, and small-cap tech service, Radical Technology Profits. In the past two years alone, his subscribers have seen over 100 double- and triple-digit gains from his recommendations.
As a consultant, senior adviser, and board member for Silicon Valley venture capital firms, Michael enjoys privileged access to pioneering CEOs and high-profile industry insiders. In fact, he was one of five people involved in early meetings for the $160 billion "cloud" computing phenomenon. And he was there as Lee Iacocca and Roger Smith, the CEOs of Chrysler and GM, led the robotics revolution that saved the U.S. automotive industry.
In addition to being a regular guest and panelist on CNBC and Fox Business Network, Michael is also a Pulitzer Prize-nominated writer and reporter. His first book, "Overdrawn: The Bailout of American Savings" warned people about the coming financial collapse - years before "bailout" became a household word.
You can follow Michael's tech insight and product updates for free with his Strategic Tech Investor newsletter.
Tags: IPOs