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IPOs are quite interesting because you have the underwriters determining the initial value, not the marketplace. The initial market price of a new issue stock has not seen the exposure of thousands of investors.
Once that opening bell rings for the first time and the stock starts trading live you really find out how much the company is worth, and all go one way or another.
Vonage (VG) is a perfect example of an IPO gone bad, but heck look at Google (GOOG).
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