The Biggest IPO Flops

AAA

Ever since the credit crunch and Great Recession KO'ed the IPO market in the late 2000's, it has been difficult for companies to raise money and go public. But, a successful IPO is no guarantee of a long run as a successful company or stock; the IPO frenzy of the 1990s, for instance, created a great deal of excitement and small fortunes for nimble traders, but also left a lot of wreckage. This year is no exception, with the recent news of online gaming company King Digital Entertainment limping to the finish on its opening day of trading with a 16% drop from its IPO price. While King Digital has the dishonor of being the worst IPO so far this year, history shows that we'll have many more woeful IPO tales to examine as the year unfolds. Here is a look at some memorable IPOs from the past that failed, flopped or otherwise flamed out.

  1. No results found.
Related Articles
  1. Insurance

    The Biggest IPO Flops

    The successful offering of General Motors may reinvigorate the IPO market, but investors should remember to be cautious when investing in new companies.
  2. Investing

    IPO Stinkers: The Biggest IPO FAILS of 2014

    Despite a booming market, some IPOs crashed and burned. Sure, going public brings a flood of capital, but it can also expose a company to unpredictable market forces.
  3. Insights

    Why Are Companies Taking Longer To Go Public?

    Learn why private companies are waiting longer to have their IPOs. Understand why it may be more advantageous for a company to stay private.
  4. Investing

    King Digital vs. Zynga: Who Will Win the Mobile Gaming Market? (ZNGA, ATVI)

    Find out who is going to win the mobile gaming war between Zynga and King Digital. Learn how the acquisition of King by Activision Blizzard plays a part.
  5. Investing

    Top Reasons IPO Valuations Miss The Mark (MS, ZNGA)

    The costly services of investment banks don’t necessarily guarantee accuracy in IPO pricing.
  6. Investing

    Market Volatility, Weak Economy Delay Major IPOs

    These outside factors can delay and affect IPOs when they are finally listed on a stock exchange.
  7. Insurance

    Initial Public Offering (IPO) Explained

    An initial public offering (IPO) marks the start of a company's publicly traded life. Find out why companies undergo IPOs, and how the process works.
  8. Investing

    How To Track Upcoming IPOs

    Interested in investing through IPOs? Here is the list of free sources for information on upcoming IPOs.
  9. Insights

    The 6 Most Famous Failed Video Game Makers (KING, ZNGA)

    The video-game industry pulls in $100 billion in revenue annually. Failed companies offer a cautionary tale.
Hot Definitions
  1. Leverage Ratio

    Any ratio used to calculate the financial leverage of a company to get an idea of the company's methods of financing or to ...
  2. Two And Twenty

    A type of compensation structure that hedge fund managers typically employ in which part of compensation is performance based. ...
  3. Market Capitalization

    The total dollar market value of all of a company's outstanding shares. Market capitalization is calculated by multiplying ...
  4. Expense Ratio

    A measure of what it costs an investment company to operate a mutual fund. An expense ratio is determined through an annual ...
  5. Mezzanine Financing

    A hybrid of debt and equity financing that is typically used to finance the expansion of existing companies. Mezzanine financing ...
  6. Long Run

    A period of time in which all factors of production and costs are variable. In the long run, firms are able to adjust all ...
Trading Center