MarketWatch First Take
May 19, 2011, 1:09 p.m. EDT
LinkedIn IPO doesn’t mean it’s 1999 again
Commentary: It would take several hundred LinkedIns to equal 1999
By MarketWatch
CHAPEL HILL, N.C. (MarketWatch) — Make no mistake: The stock market is nowhere near as overheated today as it was in the latter stages of the Internet bubble in 1999 and early 2000 — notwithstanding LinkedIn Corp.’s highly successful initial public offering.
Consider one indicator of an overheated market: the number of IPOs that, like LinkedIn so far Thursday, doubled in price during their first day of trading. Read about LinkedIn’s debut.
According to Jay Ritter, a finance professor at the University of Florida who researches the IPO market, there were 115 such IPOs in calendar 1999. In the first quarter of 2000, there were 48 more — a pace equivalent to 192 a year.
Full article:
http://www.marketwatch.com/story/linkedin-ipo-doesnt-mean-its-1999-again-2011-05-19?link=MW_home_latest_news
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