The Casper IPO is the latest example of a hyped up company struggling once it hits public markets.
We warned our readers to approach this IPO with caution back in October.
But there's more to the story on what happened to Casper Sleep Inc. (NYSE: CSPR).
And some people are still making a killing (you could be one of them next time)...
The Casper IPO is the latest example of a hyped up company struggling once it hits public markets.
We warned our readers to approach this IPO with caution back in October.
But there's more to the story on what happened to Casper Sleep Inc. (NYSE: CSPR).
And some people are still making a killing (you could be one of them next time)...
Rivian isn't a household name yet, but it will be soon.
The company has been called the "Tesla Killer."
It was valued at $7 billion in December 2019 after receiving over $2.2 billion from startup investors.
And that was before it received another $1.3 billion investment from T. Rowe Price Group Inc. (NASDAQ: TROW) in the same month.
T. Rowe Price isn't the only big name investor.
Rivian has been given $700 million from Amazon.com Inc. (NASDAQ: AMZN) and $500 million from Ford Motor Co. (NYSE: F).
But does all that mean you should buy Rivian stock following the IPO?
For years now, I've advised my readers about how the average retail investor should avoid buying high-tech IPOs when they first start trading. When you buy at the open, you really risk losing your hard-earned money.
Problem is, people just can't wait. They want in, and they want in fast.
But a little patience on the right stocks, and you can still play them post-IPO for big returns. When you wait to buy, you can ride the "bounce back" period to huge gains...
Had you followed this advice with the savvy cloud provider I'll tell you about today, you could have made 863% in just a little over five years. But if you bought at the open, you risked losing more than half your capital.
I just love it when a hot new tech stock crashes.
Please don't think I'm taking delight in watching folks lose money.
Well unless it's those "geniuses" on Wall Street.
Just saying...
Here's the simple truth. If folks don't listen to me, I can't help them.
I have said for many years now that the average retail investor should avoid buying high-tech initial public offerings (IPOs) when they first start trading.
When you buy at the open, you really risk losing your hard earned money.
It's much better to wait a little more than six months from the open.
That's when insiders can sell, an event that usually means a big drop in price.
Had you followed that advice with a savvy cloud provider I've recommended, you could have made 863% in just a tad more than five years.
It’s likely to be a blowout year for initial public offerings.
In fact, many observers think 2020 could be the largest IPO year yet, with some places like CB Insights saying there are 402 unicorns worth $1.3 trillion in total potentially going public in 2020.
That’s why Money Morning is bringing you the three top IPOs to watch in 2020.
Trade on the Tadawul, the local Saudi Stock Exchange, began today for the largest initial public offering (IPO) in history.
Following the initial trading, Saudi Arabia has touted the IPO in mega state oil company Aramco as a success.
And at a glance, this assessment appears to be on target.
The first major success is this: It happened. For the first time the Saudis have allowed private ownership of a state-run enterprise, although admittedly less than 2% of it.
Then, there is the valuation. Selling 3 billion shares at 32 riyals ($8.53) each amounts to $25.6 billion. That makes this IPO the largest IPO in history, eclipsing even the float of Alibaba back in 2014, which was valued at $21.8 billion.
It also puts an overall value on Aramco of $1.7 trillion, making it, once again, the largest ever seen and close to the $2 trillion initially projected by Crown Prince Mohammad bin Salman prior to the first abortive attempt at an IPO over two years ago.
In addition, global interest may well increase the number of shares available from the placement. Currently, the number of shares amounts to only about 1.5% of the company. That could increase to about 2% if an option to sell additional shares is exercised. And there is some evidence that the outside interest is growing.
However, despite all this positive success, the downside of this IPO didn't take long to emerge...
You can't buy shares in the new public company Saudi Aramco. At least not easily.
And that's a very good thing.
I wouldn't touch the shares of what is now the world's largest publicly traded company with a 10-foot pole.
And you shouldn't either.
There are two companies that I do like in the energy sector.
They are MUCH better investments that Aramco's overly hyped IPO to trade or invest in.
I'll tell you about them below.
Sprout Social may be a popular up-and-coming marketing technology firm, but that doesn't make Sprout Social stock a buy after its IPO.
That's why, today, we're going to break down the case for investing in Sprout Social stock and why it may not be worth the investment.
Plus, we'll also show you Money Morning Defense & Tech Specialist, Michael A. Robinson's, favorite pick to profit from 2019's IPOs that has completely crushed the broader market.
2020 is almost here.
And it's lineup of IPOs could make it the biggest year yet for initial public offerings.
In fact, there are at least 10 firms poised to go public in 2020.
And almost all of them have valuations over $1 billion in industries ranging from financial services, mattresses, and even travel and lodging.
Saudi Arabia has been prepping for the ultimate IPO of its state-run oil industry.
According to the company's prospectus, the Saudi Aramco IPO could take place in December, with shares being priced on Nov. 17.
Selling shares of the oil giant will bring in billions for Saudi Arabia, putting an impressive trillion dollars on the value of the company.
As always, those buying shares in this hot IPO won't be the ones getting rich.
It will be those selling shares that reap the rewards.
But, there is a sneaky "backdoor" that will pay off in a huge way for investors today.
With a valuation of $2.4 billion, Postmates is another startup unicorn anticipated to go public.
But is Postmates stock a buy at its IPO? Find out, here, with our experts at Money Morning.
With a valuations as high as $2 trillion, Aramco could be the biggest IPO ever.
But is Aramco stock a buy at its IPO? Find out, here, with our experts at Money Morning.
With a valuation of $7.6 billion, Robinhood has completely disrupted the e-trading market.
But is Robinhood stock a buy at its IPO? Find out, here, with our experts at Money Morning.
Casper Sleep has become one of the biggest mattress firms in the world with a valuation of $1.1 billion.
Here's whether you should buy Casper Sleep stock at the IPO...
The mainstream financial media is having a bearish moment when it comes to initial public offerings. 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. 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...
