IPOs or Initial Public Offerings, are the process by which private companies become publicly traded on a stock exchange. They offer shares to the general public, who can become investors in the company.
At Ticker Nerd we believe IPOs are important to review and monitor because they provide early-stage opportunities. By keeping an eye on IPOs, investors can gauge market sentiment, gain insights into valuation methodologies, diversify their portfolios, and take advantage of increased liquidity. However, it's crucial to conduct thorough research and understand the risks associated with investing in a company right after it hits the stock exchange.