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Mistakes Early Uber Buyers’ should avoid.
It is possible that Uber may be the next big item just like Amazon in a few years ahead. Nobody knows what will happen. So, early Uber Buyers need to desist from common mistakes to avoid from great loss.
What I do know is that if Uber is up significantly in its first weeks in the market and the wise decision would be for long-term investors to hold for a year or half a year before jumping in to buy the Uber stocks, study the market and see how it trades.
Study the Pattern of IPOs
Veterans in this field suggest that investors should not rush to buy IPOs on the first week when still fresh in the market, it is wise to keep watching the market for some time in order to purchase it at a better price especially during a correction.
Uber Buyers’ Learn from past mistakes
To confirm why we say these Uber IPOs are dubious and unpredictable investments, look at the process of how they go going public- involving the press to hype the process. There’s absolutely no one forcing these tech companies such as Uber, and NASDAQ to go public. Why then, do they go public?
A Better Approach to IPOs
It’s quite understandable why many investors get excited about Airbnb stock, considering the possible growth off the company ahead. However, instead of the long term investors getting caught up in the Airbnb IPO hype, they should instead take a more long-term approach.
According to reports by Reuters, 8 out of the 10 biggest tech IPOs in history have over the years delivered negative returns of up to -26% and -72% within the year following their first day of trading. The first year of trading Uber stocks after the IPOs is likely to become noisy, with high risk and unpredictable year of all for investors.