More than 220 private companies are looking to go public in 2019, making it a big year for investors. Some analysts estimate that IPO proceeds generated in 2019 could exceed $100 billion, bypassing the 2000 record of $96 billion.
Let’s take a look at some of the biggest companies with IPOs scheduled this year.
Levi’s Strauss – LEVI
The iconic denim jeans company went public this year with an opening trade price of $22.22. The stock’s performance since the IPO saw a 25% increase. LEVI raised over $623 million in its IPO, making it one of the better IPOs to have bought this year.
Lyft – LYFT
Both Uber and Lyft went public this year, despite the controversy surrounding the ride-sharing economy as a whole. LYFT’s opening trade price was $87.24, but the performance since the company’s IPO is down 1%. LYFT raised over $2.7 billion in IPO proceeds.
Pinterest – PINS
Pinterest is a social media company that focuses on interests, where users can create boards organized by themes. The company went public earlier this year with an opening trade price of $23.75. The stock performance since that IPO is up 26%. Pinterest managed to raise over $1.4 billion in IPO proceeds.
Tradeweb – TW
Tradeweb is an electronic trading platform for bonds. The company provides an easy-to-use interface for trading all types of bonds. The TW opening trade price was $36.24. Tradeweb earned over $1.1 billion in its IPO proceeds.
Zoom – ZM
Zoom offers cloud-based remote video conferencing for businesses that range from one office to multi-national. The company’s opening trade price of $65 was more than double the IPO price of $36. Since the IPO, the company’s stock has seen an increase of 67%. Zoom raised $751 million in its IPO, but stock performance since then has beaten Lyft and Pinterest.
A Word Of Warning
Despite the major successes you see above, some analysts warn that the IPO could become the new Wall Street bogeyman. Private valuations of a company are generally inflated to help the stock surge on its IPO day. That can often result in a company’s stock deflating as the market continues.
The trend has been noticed time and time again, with tech stocks being noticeably egregious about inflating their value. Still, provided you conduct sufficient research and accept the risk that is intrinsically associated with investing, you could stand to profit from an IPO investment.