U.S. Markets close in 1 hr 23 mins
  • S&P 500

    4,480.49
    +9.12 (+0.20%)
     
  • Dow 30

    35,220.29
    -74.47 (-0.21%)
     
  • Nasdaq

    14,998.68
    +101.34 (+0.68%)
     
  • Russell 2000

    2,268.17
    +2.52 (+0.11%)
     
  • Gold

    1,767.40
    -0.90 (-0.05%)
     
  • EUR/USD

    1.1616
    +0.0015 (+0.1278%)
     
  • 10-Yr Bond

    1.5810
    +0.0620 (+4.08%)
     
  • Vix

    16.46
    +0.16 (+0.98%)
     
  • GBP/USD

    1.3734
    +0.0057 (+0.4189%)
     
  • USD/JPY

    114.2210
    +0.5440 (+0.4785%)
     
  • BTC-USD

    62,021.12
    +1,070.30 (+1.76%)
     
  • CMC Crypto 200

    1,444.20
    -7.44 (-0.51%)
     
  • FTSE 100

    7,203.83
    -30.20 (-0.42%)
     
  • Nikkei 225

    29,025.46
    +474.56 (+1.66%)
     

Can Value Investors Buy IPOs?

Welcome to Episode #11 of the Value Investor Podcast

Every week, Zacks value stock strategist and the Editor of Zacks Value Investor portfolio service, Tracey Ryniec, talks about all things happening in the value stock universe, including her top stock picks.

This week, Tracey digs into the IPO market. After a really slow market in IPOs, the last week saw a flurry of activity including ELF Beauty (ELF), which went public expecting to raise $100 million but instead booked $141 million after it priced above expectations.

Shares of ELF, which makes lower priced cosmetics, finished up 56% on their first day of trading.

But IPOs are usually high growth companies and they don’t come cheap.

Can value investors ever buy into an IPO when it first launches?

You may be surprised by the answer.

Outside of stocks, Tracey also discusses how to play IPOs using ETFs. There are two IPO ETFs, the Renaissance IPO ETF (IPO) and the First Trust US IPO ETF (FPX).

Which one does Tracey like and why?

Find out more about value investors diving into IPOs on this week’s podcast.

Want to know more about the 2016 IPO market?

Maddy Johnson goes straight to the source with an interview with Kathleen Smith of Renaissance.

Listen to the podcast below:

Want more insights from Tracey?

Check out her weekly Value Investor service to receive more in-depth analysis on value companies and see which stocks she thinks are the best bargains now. Click here to learn more>>


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
RENAIS-IPO ETF (IPO): ETF Research Reports
 
FT-IPOX 100 (FPX): ETF Research Reports
 
To read this article on Zacks.com click here.
 
Zacks Investment Research