• SheeEttin
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    7 months ago

    Some good IPOs cause the stock price to shoot up as soon as it’s listed. I fully expect reddit’s to drop.

    • Ænima
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      7 months ago

      You won’t, at least not before they get some mid-level fish on the hook. IPOs, anymore, are corporate pump-and-dumps where the C-level management and initial investors get a ton of shares before the IPO drop, wait for the price to jump after launch, then dump a portion of those shares for more than they initially invested. All the while leaving little investors, and those falling for FUD, out to dry.

      Within the first few days of the IPO, after an initial surge, you’ll see it start to drop quickly as those initial investors sell at the top. It’ll go up and up and people will think they need to get in on this shit, only to basically see the floor fall out as soon as they bite.

      Also, someone mentioned shorting them, but the underlying shares won’t have options available for some time after IPO.