IPO Winter Szn
Updated: Dec 7, 2020
December has interesting IPOs coming up so I had take a look for myself. 3 particular names caught my attention.
Door Dash - Airbnb - Instacart
I use these companies very often, so I decided to dig into their financials and see if I could make some money.
Door Dash - They are the laughing stock of the IPO world right now. Stay as far as away from this IPO as you can. Their business model is completely unsustainable. The company was profitable for only 1 quarter in 2020. The private investors realize they are losing money quick and they want to off-load the risk onto unsuspecting investors.
Airbnb - There has been enough Airbnb parties in the area to know that the Airbnb IPO is worth looking into. Even though the company saw falling profits in the beginning of 2020, this quickly turned around in July. They saw 1 million new booking in one night. Travelers are adjusting to the corona virus restrictions and are choosing more reserved options like "staycations" and this is leading Airbnb's core business model. I will definitely be grabbing a few shares. ($44-$55 a share)
Instacart - After reading about Door Dash's ridiculous IPO situation, I wasn't to excited about reading into Instacart. Surprisingly , they have some upside potential. They won huge in legislation after declaring their drivers as independent contractors. They also managed to bring in 200 million in funding by some big name investors. Although they started in food delivery, they managed to scale their business model and expand to other stores such as Sephora, bed bath and beyond and 7-11. I am seeing alot of upside potential and will be participating in this IPO.
I like my blog post short and to the point just like this. Expect more like this from me on the regular. Hit me up if you have any questions.