What's the best way to determine whether to invest in a company after its IPO?

You have some time — usually a few months to a year — to study all the key information for investors before deciding to invest in a newly public stock.

Aliver Aliver
Jun 9, 2024 - 21:05
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What's the best way to determine whether to invest in a company after its IPO?

Traders gather at the post where Rubrik Inc., the Microsoft backed cybersecurity software startup, is traded during the company’s IPO at the New York Stock Exchange (NYSE) in New York City, U.S., April 25, 2024. 

Brendan Mcdermid | Reuters

Here's our Club Mailbag email investingclubmailbag@cnbc.com — so you send your questions directly to Jim Cramer and his team of analysts. We can't offer personal investing advice. We will only consider more general questions about the investment process or stocks in the portfolio or related industries.

This week's question: Considering the potential upside (and downside) of IPOs, and the hype that always seems to accompany them, can you please give us fairly new investors some information on how to analyze and value these offerings? Thank you, and thanks for all of your hard work. — Tom in New York