IPOs were back with a vengeance
More companies went public on U.S. exchanges in May than in
any month since before the recession. IPOs by
yesterday brought the month's total to 30 - the most in six
The big May for IPOs comes on the heels of a fairly modest
first four months of the year. IPO totals in February, March and
April were all down from 2012. The 30 IPOs in May almost triples
last year's tally.
A surprising upturn in U.S. markets this month surely had a
lot to do with all the new companies going public.
Stocks were up 4.5% this month, setting record highs on almost
a weekly basis - an extreme rarity for the beginning of the
Sell In May
" market downturn.
The surprising health of the markets spilled over into the IPO
market, convincing more privately held companies to jump in the
pool that at any time since May 2007.
The returns haven't hurt either. Nineteen of the 30 companies
that went public this month are currently trading above their IPO
prices. Several of them are trading substantially higher than
is up 90% since debuting at $13 on May 16
is up 65% since debuting at $31 on May 16
ING U.S. (
is up 46% since debuting at $19.50 on May 1
Insys Therapeutics (
is up 36% since debuting at $8 on May 2
is up 22% since debuting at $18 on May 8
Five other companies that debuted this month have seen their
stocks rise at least 20% from their IPO price.
By any measure, it was a banner month for IPOs in May. If the
next 30 days for the broad market are anywhere near as fruitful
as the previous 31, then June could be another big month.