Chapter 2
IPO Basics
It’s a common misconception that initial public offerings (IPOs) are a guaranteed road to riches. Although there are many IPOs that do extremely well—like Google, NetSuite, Salesforce.com, Starbucks, and Chipotle—the fact is that IPOs are like any other investment: there is always risk. Before considering IPO investment strategies, it’s important for investors to understand what IPOs are and how they work.
Anyone reading this book probably knows that an initial public offering is the first sale of stock by a company to the public. It’s when a company makes the transformation from being privately held to becoming publicly traded, complete with its own ticker symbol. However, there’s probably a lot of other, more advanced IPO ...
Get High-Profit IPO Strategies: Finding Breakout IPOs for Investors and Traders, 3rd Edition now with the O’Reilly learning platform.
O’Reilly members experience books, live events, courses curated by job role, and more from O’Reilly and nearly 200 top publishers.
