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00:03IPO gains tend to fade quickly after the initial trading day,
00:06and analysts warn that a wave of mega IPOs could pressure broader markets, according to Barron's.
00:13Renaissance Capital data shows the average first-day IPO gain this year has been 15.2%,
00:18but that slips to 13% after just one month.
00:23Jeffrey's strategists note that large IPOs with market valuations above $10 billion
00:28average a 26.5% return in their first week, but returns fall to 3.5% by year-end.
00:35SpaceX, valued at $1.8 trillion at nearly 100 times trailing revenue, is set to debut Friday.
00:43Strategists at BCA Research warn the coming IPO wave may dampen forward market returns
00:48and dilute valuations for existing AI stocks.
00:52LNW.
00:53Chief Investment Officer Ron Albaheri flagged SpaceX, Anthropic, and OpenAI as a potential
00:59impending choke point for market absorption of new stock supply.
01:02For all things money, visit Benzinga.com.
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