It is obvious that many people who participated in BMBL IPO are in red zone, but the worst has yet to come! Look at TWITTER, SNAP,FACEBOOK, SPOTIFY, and PINTEREST historical charts..! Clearly anyone who participated in those IPO in the very first day lost 50-85% of his his capital in several weeks or months! I’m currently conducting a study on IPO Ed stock in last 3 years, obviously you are in danger of losing your capital in 3 out of 4 recently IPOed stocks. It doesn’t matter if you are a trader or longterm investor, you have to take care of your capital. 1st day IPO = Bubble burst..! A bubble is an economic cycle that is characterized by the rapid escalation of market value, particularly in the price of assets. ... During a bubble, assets typically trade at a price, or within a price range, that greatly exceeds the asset's intrinsic value (the price does not align with the fundamentals of the asset)(investopedia) BMBL chart is 30 minutes, others are weekly charts..! Please write your experiences of participating in IPOs in comments
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It would be better to change the term IPO to market opening price! However market price could go below Market opening price/IPO. For example:
Facebook's IPO launched at $38 on May 18, 2012. The stock fell significantly, bottoming out at $17.73 on Sept. 4, 2012, before rising sharply in 2013.
@Traderwell, not necessarily, but most IPOs are , regardless of their sector or industries!
arunkumarvirgo
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Bumble is a rogue feminist app. It definitely is not helpful for men. Should short it AF.
sergeimalykhin
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You forget about the difference between IPO price and price on market openning. Bumble IPO price is 43$ while minimal price on the market was about 70$. So if you bought it on IPO you have a good profit. Congrats!
Moshkelgosha
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@sergeimalykhin, you are right it would be better to mention opening price but in most cases they go below the IPO price as well..!
Facebook's IPO launched at $38 on May 18, 2012. The stock fell significantly, bottoming out at $17.73 on Sept. 4, 2012, before rising sharply in 2013.
NojausArka
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Yet... ALL of those companies woulda made you heaps had you NOT sold like a fool on the profit-taking dip, but waited it out... If fundamentals of the company is strong - those profit taking dips create opportunities to play smart - either by synthetics or buying in the dip, waiting the volatility, then reap benefits on the upside. If you don't have a plan - don't trade or you get burned, simple is that *_^
Hemlocked
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ITT: no actual analysis on bumble as a company. Your advice literally boils down to "don't buy the top". Come on dude...
Jackson10M
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I know a friend who participated in a private offering in a Marijuana company called Sundial (NASDAQ:SNDL). The IPO hit the NASDAQ in July 2019 at a price of $13. By July 2020 the stock was less than $1.
Moshkelgosha
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@Jackson10M, Thank you so much for sharing your experience
Hemlocked
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@Jackson10M, bought a call option on that while it was $1 lmao. $$$