tag:blogger.com,1999:blog-8146322436034546834.post6389459620608015773..comments2023-05-12T17:41:16.443+05:30Comments on STOCKFUNDOO: IPO: It's Probably Over-priced!Naren Lokwanihttp://www.blogger.com/profile/16874239087015042891noreply@blogger.comBlogger1125tag:blogger.com,1999:blog-8146322436034546834.post-42767452811885061232012-10-01T17:00:00.509+05:302012-10-01T17:00:00.509+05:30Here are my views,
I don't know technicals. B...Here are my views,<br /><br />I don't know technicals. But as a general rule, why should I go for an IPO option? The ball will be in company court, I won't have price control, need to obey what ever company bids. Where as in a secondary market, I will be the judge. I will have much better valued stock in the market than going for IPO. Everything look great on the paper. The motto behind this decision was, missing wrong train is important than catching wrong train, isn't?<br /><br />It doesn't matter whether company has strong presence or a new player. As an example, look at the IPO of Reliance Power, most of my friends trapped at very high price (I guess Rs.450/-). Even today (about 5 years) they are unable to get their money. Alas, it is time to invest in RP, as its plants start yielding and future seems to be brighter (if no surprise of scams and price control :P).<br /><br />A personal note on the education related stocks. I feel education sector in India going to be multi-billion dolor business in coming years. A few picks in this category would be upcoming gems. I like the business model of MT Educare, Tree House education (but not the stocks), and there are unlisted private players too. Just see the contribution of MFs in MT Educare, their business model is attractive.<br /><br />I read your IPO experience in one of Telcoms stocks, do you suggest investing in IPOs?<br /><br />I want to know whether any benefits to an IPO investor than those bought in secondary market.Anonymoushttps://www.blogger.com/profile/09855100606552890649noreply@blogger.com