Most popular IPOs : Everyone enjoys a good IPO tale, regardless of a company which soared following its initial offering, or one that was overhyped during the initial excitement, and is now back to Earth. There have been 94 IPOs to date this year. However, the ones we’re about examine attracted the most attention from the media.
Line Corporation. ( LN), the Japanese messaging platform that outlines its mission as an “smart portal” through which users can get access to people, information, products as well as brands, companies and other businesses and brands. It was listed on the stock exchange in July. Line is not just looking to provide entertainment through in-app games and stickers as well as to provide an application for users to interact with businesses with the most technologically advanced methods.
The social media company received the market with a positive response, and shares rose right following the IPO to a staggering valuation that is currently at more than one hundred times the earnings. But, the shares hit an all-time high of $50 in September. The share price has dropped around 28 percent since.
MGM Growth Properties
In the event that MGM Resorts International ( MGM -0.69 percent) announced in late 2015 that it was going to split off a section of its operations as an independent company investors were ecstatic by the possibility of seeing an investment trust in real estate (REIT) split off from a company prospering over the last two years in a field that boasts many properties that are performing well.
MGM Growth Properties ( MGP) was consequently born as one of the top REITs on the market that owns, acquires and leases huge resorts which include hotels, casinos or convention facilities. MGP began trading in April, and has steadily increased since. It was in the month of October that MGM Growth Properties raised its dividend. It’s currently at 6.2 percent yield.
ZTO Express ( ZTO 0.43 percent), the Chinese company that delivers packages has the most up-to date IPO listed on this list, having made its debut in the last week of October, and bringing in $1.4 billion. The reason why there’s such a high level of interest among investors for ZTO Express is because ZTO Express serves the expanding Chinese shipping industry, which has grown exponentially due to rising consumption and e-commerce growth in China. This growth has seen ZTO Express expand massively in its relatively short time. The company achieved its market capitalization of more than $10 billion within a couple of days after the IPO however its share price has dropped somewhat in the time since.
The upcoming IPO, Trivago could be the next (and probably the last) major IPO in the coming year. The company that offers online hotel searches competes with major companies in this sector however one of the largest, Expedia ( EXPE 4.86 percent), is actually Trivago’s largest stakeholder.
The company filed on November. 14 to become a public company and its shares are expected to begin trading public in December. Although it’s in a aggressive and competitive market Trivago has been an excellent performance in this sector. Following the IPO was made public on July 1, analysts estimated the company at about $5 billion.
Making preparations for 2017
Although some of these companies have sparked a lot of interest in the market this year, the 2016 has been a bit slow in terms of IPOs. About 100 companies are expected to list prior to the end of the year which is significantly from the 170 companies that were listed in the year 2015. However, 2017 is promising to be an important one for this IPO market.
The major names being floated as possible for 2017 IPOs are Snap Inc., the parent company behind social media apps Snapchat; hotel-industry disruptor Airbnb and Palantir Technologies, the CIA-backed data-services business founded by Peter Thiel, Silicon Valley celebrity and possible advisor to the president-elect Donald Trump.
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