Investing in an initial public offering (IPO) has the advantage of allowing investors to invest in a possibly undervalued business early on, before brokerages establish big equity positions. It’s critical for IPO investors to keep track of any upcoming IPOs in order to take advantage of new investment opportunities that arise.
Here are 5 upcoming IPOs to keep an eye on this week.
5 Upcoming IPOs This Week
For many years, the primary way for a company to access the public markets was through an initial public offering (IPO). The demand for new stock offerings has remained robust, with a number of IPOs seeing price increases on the first day.
These five upcoming initial public offerings (IPOs) were reported last week.
Samsara Inc. (NYSE: IOT). This is an American Internet of Things company based in San Francisco, California. Samsara is a company that creates a linked operations platform for tracking vehicle and equipment fleets.
Samsara Inc intends to offer 35,000,000 shares with a target price of between $20-$23 on the week of December 15th.
Sidus Space Inc.
Sidus Space Inc. (NYSE: SIDU). This is a Space-as-a-Service company. With their fast scalable, low-cost satellite services, Sidus Space makes it simple for any organization, industry, or vertical to begin their voyage off-planet.
Sidus Space Inc intends to offer 3,000,000 shares with a target price between $4-$6 on the week of December 16th.
FRESH GRAPES, LLC
FRESH GRAPES, LLC (NYSE MKT: VINE). With actors Nina Dobrev and Julianne Hough as co-founders, this business concentrates on low carb, low calorie “luxury” wines. Fresh Vine Wine intends to launch its stock under the symbol VINE on the New York Stock Exchange.
FRESH GRAPES, LLC intends to offer 2,200,000 shares on the week of December 14th with a target price between $9-$10.
Bionomics (NASDAQ: BNOX). This is a global biopharmaceutical firm in the clinical stage that is focusing on its ion channel and chemistry platform. Their goal is to provide a comprehensive solution for all radioactive and hazardous waste streams.
Bionomics intends to offer 2,200,000 shares on the week of December 13th with a target price of $15.45.
How To Invest in IPOs
Investing in IPOs can be done in a few simple steps. Follow these steps in order to get started investing in some of the upcoming initial public offerings.
1. Select a Brokerage
First, you need to determine which brokerage would be best suited for you. Here are a few of the most popular options when it comes to investing in IPOs.
- E*Trade — Free Stock Trading – Award winning platform and mobile app!
- TradeStation — Also Free stock trading – intuitive stock trading tools. Cash bonus for new accounts (conditions apply).
- Sofi: There are no minimums for participation, and any SoFi member with an Active Investing account is eligible. Sofi has a $3,000 minimum balance requirement across all accounts and a stringent 30-day anti-flipping policy. To participate in an IPO, SoFi costs a minimum of $3,000 in capital.
- Fidelity: To acquire IPO shares, you must first create an account with Fidelity and confirm that you fulfill Fidelity’s IPO eligibility requirements. To participate in an IPO, Fidelity requires liquid funds varying from $100,000 to $500,000.
2. Open Your Trading Account
To begin investing in IPOs, you must first open a brokerage account. After deciding on the best brokerage for you, you must open an account with them.
3. Deposit Funds
Once you’ve linked an accepted payment method to your account, you’ll be able to deposit cash to purchase IPO shares. You must determine how many shares to purchase when your account has been fully activated.
4. Select an IPO Stock to Invest in
In order to select an IPO to invest in, you will have to conduct research online to learn about the organization’s financial performance, the current news, and the sustainability of its sector.
5. Purchase Your Selected IPO Stock
Use the ticker symbol to find the stock and do some research before determining if it’s a smart investment for you. On the broker’s order form, you will enter the symbol and the quantity of shares you desire to acquire.
6. Monitor Your Performance
It’s important to monitor the performance of all of your investments. For monitoring IPOs, several brokerages provide IPO-specific news. IPO investors may stay up to date on future IPOs, general market sentiment, and related news.
Should You Invest in IPOs?
Your current portfolio may consist of blue chip stocks, growth stocks, index funds, or other types of equities. It is possible that you are considering investing in some of the initial public offerings (IPOs) that have been in the news this week to add to your portfolio.
If you’re considering investing in an initial public offering (IPO), but don’t know which one would be the best to start with, speak with a financial advisor today.
Frequently Asked Questions
A private business can obtain money by selling shares to investors in a stock issuance known as an initial public offering (IPO). Investors gain from the ability to select a possibly underpriced stock early in the process.
When a firm decides to seek funds through an IPO, it does so only after thorough research to ensure that this maximizes the yields of initial adopters while also raising the greatest capital for the business. As a result, when the IPO decision is made, the possibilities for future development are expected to be strong.
IPOs are attractive to investors because of the volatility of their price swings. This can result in huge gains on occasion, but it can also lead to significant losses. Furthermore, investors should evaluate each IPO based on the expectations of the firm going public.
Investment Firms is a ready supported website. Our content is free to consume and most of the time we do not earn revenue from publishing articles. In some instances, clicking on links in articles may earn us a commission if you are to purchase something.