Back in the 90’s, boiler rooms would take bullshit companies public and sink unsuspecting investors in the process. This was an especially egregious and deceptive scheme because it was done at a time when big investment banks were making fortunes for their clients via high grade, well priced offerings. Then the dot com bubble came, putting the ipo market on a pedestal. It was an honor and a privilege to get in on a hot ipo. For the most part, they were reserved for the biggest and best clients.
Fast forward to today and our big investment banks, seemingly desperate for investment banking revenue, are conducting themselves like Stratton Oakmont circa 1994. Their mis-priced, bullshit, offerings are taking a wrecking ball to unsuspecting investors and as a result are greatly damaging the sentiment of the entire market. After all, if you can’t make money in a hot ipo, what can you make money in?
Message to deal makers: STOP OVERPRICING YOUR FUCKING OFFERINGS.
The following offerings belong in the Hall of Shame, alongside the fucktarded lead underwriters who did these deals.
Intermolecular, Inc. IMI Morgan Stanley 9.65 8.88 10.00 -11.20% 2011-11-18
107 Air Lease Corporation AL J.P. Morgan 25.00 23.25 26.50 -12.26% 2011-04-19
106 American Capital Mortgage Investment MTGE Citi 8.00 17.58 20.00 -12.10% 2011-08-04
105 Enduro Royalty Trust NDRO Barclays Capital 13.20 19.06 22.00 -13.36% 2011-11-04
104 BCD Semiconductor Manufacturing BCDS Jefferies 6.00 8.93 10.50 -14.95% 2011-01-28
103 Box Ships Inc. TEU UBS Investment Bank 10.00 10.23 12.00 -14.75% 2011-04-14
102 Yandex N.V. YNDX Morgan Stanley 52.17 21.48 25.00 -14.08% 2011-05-24
101 BankUnited BKU Morgan Stanley 29.00 22.28 27.00 -17.48% 2011-01-28
100 Adecoagro S.A. AGRO Credit Suisse 28.57 9.08 11.00 -17.45% 2011-01-28
99 Zipcar, Inc. ZIP Goldman, Sachs 8.33 14.84 18.00 -17.56% 2011-04-14
98 HCA Holdings, Inc. HCA BofA Merrill Lynch 126.20 23.65 30.00 -21.17% 2011-03-10
97 Tranzyme, Inc. TZYM Citi 13.50 3.10 4.00 -22.50% 2011-04-04
96 TMS International Corp. TMS BofA Merrill Lynch 12.50 9.95 13.00 -23.46% 2011-04-14
95 Freescale Semiconductor Holdings I, Ltd. FSL Citi 43.50 13.61 18.00 -24.39% 2011-05-26
94 Responsys, Inc. MKTG Morgan Stanley 6.62 8.99 12.00 -25.08% 2011-04-21
93 Apollo Residential Mortgage, Inc. AMTG Morgan Stanley 10.00 14.90 20.00 -25.50% 2011-07-22
92 Apollo Global Management, LLC APO Goldman, Sachs 29.76 13.82 19.00 -27.26% 2011-03-30
91 Skullcandy, Inc. SKUL BofA Merrill Lynch 9.44 14.59 20.00 -27.05% 2011-07-20
90 Kosmos Energy Ltd. KOS Credit Suisse 30.00 12.80 18.00 -28.89% 2011-05-11
89 Solazyme, Inc. SZYM Morgan Stanley 10.98 12.94 18.00 -28.11% 2011-05-27
88 RPX Corporation RPXC Goldman, Sachs 8.43 13.47 19.00 -29.11% 2011-05-04
87 C&J Energy Services CJES Goldman, Sachs 11.50 20.42 29.00 -29.59% 2011-07-29
86 Pandora Media, Inc. P Morgan Stanley 14.68 11.00 16.00 -31.25% 2011-06-15
85 China Zenix Auto International Limited ZX Morgan Stanley 12.90 4.06 6.00 -32.33% 2011-05-12
84 Jiayuan.com International Ltd. DATE BofA Merrill Lynch 7.10 7.29 11.00 -33.73% 2011-05-11
83 SunCoke Energy, Inc. SXC Credit Suisse 11.60 10.69 16.00 -33.19% 2011-07-21
82 Digital Domain Media Group, Inc. DDMG Roth Capital Partners 4.92 5.53 8.50 -34.94% 2011-11-18
81 21Vianet Group, Inc. VNET Morgan Stanley 13.00 9.65 15.00 -35.67% 2011-04-21
80 Phoenix New Media Limited FENG Morgan Stanley 12.77 7.13 11.00 -35.18% 2011-05-12
79 BG Medicine, Inc. BGMD Lazard Capital Markets 5.00 4.40 7.00 -37.14% 2011-02-04
78 Boingo Wireless, Inc. WIFI Credit Suisse 5.77 8.50 13.50 -37.04% 2011-05-04
77 Preferred Apartment Communities, Inc. APTS Wunderlich Securities 4.50 6.16 10.00 -38.40% 2011-03-28
76 Zuoan Fashion Limited ZA Cowen and Company 6.00 4.27 7.00 -39.00% 2011-02-15
75 Vanguard Health Systems, Inc. VHS BofA Merrill Lynch 25.00 10.60 18.00 -41.11% 2011-06-22
74 MagnaChip Semiconductor Corporation MX Barclays Capital 9.50 7.90 14.00 -43.57% 2011-03-11
73 Lone Pine Resources Inc. LPR J.P. Morgan 15.00 7.29 13.00 -43.92% 2011-05-26
72 AcelRx Pharmaceuticals, Inc. ACRX Piper Jaffray 8.00 2.80 5.00 -44.00% 2011-02-11
71 Horizon Pharma, Inc. HZNP Stifel Nicolaus Weisel 5.50 5.00 9.00 -44.44% 2011-07-28
70 Taomee Holdings Limited TAOM Credit Suisse 7.19 4.78 9.00 -46.89% 2011-06-09
69 NetQin Mobile Inc. NQ Piper Jaffray 7.75 5.90 11.50 -48.70% 2011-05-05
68 Demand Media, Inc. DMD Goldman, Sachs 8.90 8.06 17.00 -52.59% 2011-01-26
67 NeoPhotonics NPTN BofA Merrill Lynch 7.50 4.92 11.00 -55.27% 2011-02-02
66 Tudou Holdings Limited TUDO Credit Suisse 6.00 12.97 29.00 -55.28% 2011-08-17
65 Gevo, Inc. GEVO UBS Investment Bank 7.15 6.30 15.00 -58.00% 2011-02-09
64 Sequans Communications S.A. SQNS UBS Investment Bank 9.17 4.10 10.00 -59.00% 2011-04-15
63 Trunkbow International Holdings Limited TBOW Roth Capital Partners 4.00 1.89 5.00 -62.20% 2011-02-03
62 Renren Inc. RENN Morgan Stanley 53.10 3.64 14.00 -74.00% 2011-05-04
61 Kips Bay Medical, Inc. KIPS Rodman & Renshaw, LLC 2.06 1.72 8.00 -78.50% 2011-02-11
60 Imperial Holdings, Inc. IFT FBR Capital Markets 16.67 1.70 10.75 -84.19% 2011-02-07
No music selection to go with this post?
Fly, do you have a link on this. Would like table format if possible. TIA.
Here you go.
http://www.123jump.com/ipo/ipo_recent/8/1/0
Super!!! Thx!
Can we add (FFN)? IPO price $10 May ’11
Current price = $0.75
No love for the porn sites!
If this is true (and I believe it) then there is a much higher probability that an IPO will go short instead of long, so why not profit from this statistical advantage?
It’s very hard to short an IPO and normally no options trading either.
Oh yah.. I tried to short groupon … gave up in a day.
It’s just amazes me that these clowns defecate in their drinking water. Thanks for letting everyone know.
They have to do that. It’s favoritism for the 1% so they can make money on an overpriced deal and flip it to retail on the opening print. It’s why so many of the hot IPOs have sucked as stocks.
One more way Wall St. makes money for them and their friends and screws everyone else.
Quint
2011 has been especially onerous to investors. Look at this year versus last and it’s not even close. They are outright stealing from people.
Thanks for the kick ass post
Wow, and that’s only to 60. Are the top 40 just Chinese burritos that went bankrupt?
Pretty damning list.
This is the ‘FLY’ at his best, telling it like it is on Wall Street; Fly for president 2012!
Funny, it looks like a found a video of Fly in his younger days, complete with smoking jacket, while he was visiting San Francisco.
http://www.youtube.com/watch?v=Ig8OAjL82IU&feature=player_embedded
lol. That guy is not younger than me.
That’s funny! i want in on the IPO for reversible smoking jackets
JTU sells TZA north of $28.00, ready to reload at south of $27.00.
I remember watching the movie the boiler room long ago… although I can’t really remember much of it since it’s been a decade or two
Didja see/hear Howard Lindzon on CNBC’s Fast Money?
He said as the last part of a banking comment ….Citi is a shitty business.
IPO’s being huge and overpriced..isn’t that a theme of a market top?
You need some google docs spreadsheet integration up in hear. Jeremy?
Quite a nice save on the Russell. Bananas.
Crack spreads down over 9% today!