IPO tsunami looms, may even drown out Twitter
The busiest week for initial public offerings (IPO) in years is kicking off. I know everyone is obsessed with Twitter, but it is only the most well-known of dozens of names that will be going public in the next two weeks.
There are 16 IPOs set to price this week...that's the most for any week since 2006, according to Renaissance Capital. And there's also 15 secondaries also scheduled for this week, that number will certainly grow.
Next week will be busy as well: already nine scheduled to go public.
Among the more interesting IPOs this week:
a) Barracuda Networks (CUDA), which provides internet security and storage solutions, is set to price 4.1 million shares at $18-$21 tonight for trading tomorrow;
b) Wix.com (WIX), an Israeli-based web developer platform, is set to price 7.7 million shares at $14.50-$16.50 tonight for trading tomorrow;
3) Mavenir Systems (MVNR) which provides enhanced services for mobile communications, set to price 4.8 million shares at $15-$17 tonight for trading tomorrow;
4) two biotech firms are in the mix: GlycoMemetics (GLYC) which is in a collaboration with Pfizer to treat diseases in which carbohydrates play a part, set to price 4 million shares at $14-$16 Thursday night for trading Friday; and Karyoypharm Therapeutics (KPTI), an oncology firm set to price 5.7 million shares at $14-$16 on Wednesday night for trading Thursday.
5) If you are into yield plays, Arc Logistics (ARCX), which owns and operates crude oil terminals, will price 6 million shares at $19-$21, pricing tonight for tomorrow. The yield: 7.75 percent
Is this a market top for IPOs? I noted yesterday that the Renaissance Capital IPO ETF (IPO), which started trading in mid-October at $20.05, is basically flat at $20.16 after a few weeks of trading. The IPO mutual fund they run, the IPO Plus Aftermarket Fund (IPOSX), has had a boffo year, up about 50 percent, but it topped out in September.
One worry: bonds yields are starting to break out again. A move from 2.48 percent two weeks ago to 2.63 percent today is not panic territory, but it's getting noticed.
The earnings parade continues, with mixed results:
NYSE Euronext reported earnings below expectations, and Intercontinental Exchange beat on top and bottom line. ICE's CEO said he expected the merger with the NYSE to close in a matter of days.They are waiting for the last approvals from regulators in Europe.
—By CNBC's Bob Pisani