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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: E_K_S who wrote (36436)	1/12/2010 6:06:18 PM
From: Wallace Rivers	Read Replies (3) \| Respond to of 78753

EKS: Interested in GOV, but info is few and far between. Where do you get your info, and what is the bull case? TIA

To: E_K_S who wrote (36436)	1/12/2010 6:13:17 PM
From: MCsweet	Read Replies (1) \| Respond to of 78753

GOV, Basically all IPOs are oversubscribed. IMO, the initial GOV IPO was a flop, since it immediately traded down at least a point from the IPO price, even though now it is above the IPO price. You can sometimes execute a great buy going into the offering, but generally I think buying after the offering is complete gives the best chance for a great price, since the deals are usually priced at a discount to the market, and sometimes they break down, such that you can buy at a discount to the deal price. That being said, if it is a really "hot" deal then buying before the pricing is a good thing, since the stock can rally tremendously after the pricing. I don't claim to be an expert, but I don't know why this one would be so hot. MC