IPOs are popping like it's 2007
The market is back to pre-recession levels for initial public offerings.
Here's another bit of good news about the health of the stock market: U.S. businesses are on track this year to raise as much money through initial stock offerings as they did before the recession.
So far in 2013, the market has seen 64 initial public offerings, raising $16.8 billion, according to The Wall Street Journal, which cites data from Dealogic. Just last week, investors got treated to 11 IPOs, marking the busiest week for initial stock sales since December 2007.
Among the high-profile offerings this year have been Fairway (FWM), the cult supermarket that New Yorkers love, and SeaWorld Entertainment (SEAS), which operates theme parks featuring jumping dolphins and roller coasters bearing names like the Kraken.
For companies, a stronger IPO market bodes well because it allows them to raise money for expanding their businesses or to whittle down debt. So far, this year has not seen the type of price swings that have hurt the stock market since the recession started, The Journal points out.
The biggest 25 IPOs this year have gained, on average, 22% from their beginning trading prices, according to Dealogic. The S&P 500, meanwhile, has gained about 14.6%.
Still, it's a far cry from the bubble days of the late 1990s, when startup Internet businesses sold shares without even seeming to have a business plan. "It's definitely still not like when just anybody could file a prospectus and launch a deal," Richard Truesdell of the law firm Davis Polk & Wardwell told the publication.
More deals are coming. Some big ones in the pipeline that The Journal noted include HD Supply Holdings, an industrial distributor that wants to raise $1 billion, and Brazilian cement company Votorantim Cimentos, which aims to raise $5.4 billion.
Follow Aimee Picchi on Twitter at @aimeepicchi.
Stumper1948 is correct in his comments on the IRS and his understanding as to a real conservative vs. what we have out there today.
I would also add that the IRS, and I am not saying it is right, all the time will zero in on a certain group of people (small restaurant businesses, etc) and or category of taxes such as deductions for business expenses, etc. This is no different than zeroing in on a bunch of so called " Tea Party" clowns. So why Obama thinks he needs to get involved in this is beyond me. in fact, in needs to stay out of this and handle the real duties of a president vs. this BS. .
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[BRIEFING.COM] The stock market punctuated July with a broad-based retreat that sent the S&P 500 lower by 2.0% with all ten sectors ending in the red. The benchmark index posted a monthly decline of 1.5%, while the Russell 2000 (-2.3%) underperformed to end the month lower by 6.1%.
To get a better feel for what led to today's retreat, we'd like to look back to Wednesday, when the market had ample reason to rally, but did not. Instead, it ended basically flat after a sloppy day of ... More
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