We sent out our August 2nd Candygram yesterday to our email list and there are a few things that we wanted to note here:
- Added performance metrics show how hard it has been on our IPO names during the last 3 months. Through the end of July only a few names managed to not decline: Dynavox (DVOX), SS&C (SSNC), Kraton (KRA), Verisk (VRSK), Avago (AVGO), LogMeIn (LOGM), and OpenTable (OPEN).
- The best name to come out in this IPO cycle has been OpenTable (OPEN), which is up 124% from their IPO price and has been a consistently good performer. For us this is a very good example of how upcoming deals like RealPage (RP) may perform over time.
- Banking research coverage did little to move the names initiated last week (Higher One (ONE), Motricity (MOTR), Broadsoft (BSFT) and CBOE (CBOE)). Most of the new coverage was unsurprising except for Higher One where Goldman came out neutral with a price target at the low end of the original filing range. We see much more upside than they do.
- Five more names are slated to get banking coverage over the next week or so, including: AutoNavi, HiSoft, Tesla and Fabrinet. Tesla is going to be the most interesting by far given the 18 banks on the cover. Our own base of research on this one will give us a good foundation to weigh in.
- One lockup is coming off next week with QuinStreet (QNST). The shares are already trading well below Intrinsic Value and any further weakness will be an excellent opportunity to add to or initiate positions for those interested in the name. Our QuinStreet IPO report is available in our free report section.
- In terms of what’s still to come before the summer doldrums really take over, we are on the lookout for SurgiVision (shaky), RealPage (solid), IntraLinks (overvalued), NXP Semiconductors (solid) and MediaMind (shaky).
Our next Canydgram will be published on August 16th with subscriber updates, research reports and alerts going out between now and then.