IPOs Have Another Strong Month in June

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Initial public offerings (IPOs) keep coming at their quickest pace in three years.

Some $4.5 billion of stock in new companies came to market last month, according to data from ClickIPO. It was the busiest June since 2015. Click here for more stories about IPOs.

The bigger issues included retailer BJ’s Wholesale Club (BJ), commercial landscaping company BrightView (BV) and commercial-real estate landlord Essential Properties (EPRT). That marked a contrast with earlier months, when technology dominated the pipeline.

IPOs have surged to life this year as venture-capital firms take advantage of the strong economy and stock market. Investors have also embraced a wave of new software and e-commerce companies operating on both sides of the Pacific. Deal volume is now slowing down for its typical June-September lull.

Still, traders may find opportunities because some of the big IPOs from earlier in the year have pulled back sharply. Here’s an unofficial list of deals that drew a lot of attention:

  • Spotify (SPOT): A well-known provider of streaming music.
  • Iqiyi (IQ): An online video company often called the “Netflix of China.”
  • Dropbox (DBX): A heavily used provider of cloud-data hosting.
  • Docusign (DOCU): Another cloud-based provider of business services.
  • Pivotal Software (PVTL): A provider of tools for building cloud-based software.
  • Zscaler (ZS): A provider of data security for the cloud.

Do you want to invest in IPOs? TradeStation now offers access to initial public offerings through ClickIPO, an innovative mobile service that can be linked directly to your brokerage account. Existing clients can click here to get started.

 

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David Russell is VP of Market Intelligence at TradeStation Group. Drawing on nearly two decades of experience as a financial journalist and analyst, his background includes equities, emerging markets, fixed-income and derivatives. He previously worked at Bloomberg News, CNBC and E*TRADE Financial. Russell systematically reviews countless global financial headlines and indicators in search of broad tradable trends that present opportunities repeatedly over time. Customers can expect him to keep them appraised of sector leadership, relative strength and the big stories – especially those overlooked by other commentators. He’s also a big fan of generating leverage with options to limit capital at risk.