When the momentum chasing public greatly rotates to the IPO-du-jour, it would appear that bad things happen in the market. The last two times Bloomberg's IPO index doubled the market's performance (in 2007 and again in 2011) it seems it marked a euphoric top. Of course, based on 1998/99's IPO performance there is plenty more room to run since this time is different. Nevertheless, the volume of coverage allotted to this IPO or that IPO (and not just Twitter) is awfully reminiscent of the go-go days of yore (and we all know how that ends) - though you'll never be the bag-holder again right?
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But of course - this is what everyone believes will happen...
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Charts: Bloomberg
The Bloomberg IPO Index (US) is a capitalization-weighted index which measures the performance of stocks during their first publicly traded year. It includes all companies with a market value of at least $50 million at the initial public offering.