Investing

Top 9 IPOs of 2010 (MMYT, HSFT, CCIH, QLIK, MCP, FN, AMAP, IL, GDOT)

2010 has turned out to have some great winners so far.  Sure there are some losers, and some big losers.  But there are many winners.  Some of the top IPOs we wanted to review are MakeMyTrip Ltd (NASDAQ: MMYT), HiSoft Technology International (NASDAQ: HSFT), ChinaCache International Holdings Ltd. (NASDAQ: CCIH), Qlik Technologies, Inc. (NASDAQ: QLIK), Molycorp Inc. (NYSE: MCP), Fabrinet Co. (NYSE: FN), AutoNavi Holdings Ltd. (NASDAQ: AMAP), IntraLinks Holdings, Inc. (NYSE: IL), and Green Dot Corporation (NYSE: GDOT).  We have just listed these mostly in order of performance and reviewed the performance and some of the prospects which lie ahead.  The common theme here is that many of these are foreign companies or are interest which tie in with foreign competition needs.

MakeMyTrip Ltd (NASDAQ: MMYT) still leads the pole position for IPOS from the Indian travel agency.  After a $14 IPO, shares are up over 170% at $38.30.  Not bad for an August IPO.  It was the best IPO since 2007, although there is a new IPO that rivals it for now.  Due to valuations, there is a mixed analyst bag so far.

HiSoft Technology International (NASDAQ: HSFT) is also up almost 150% at $24.81 after a $10.00 pricing on June 30, which was the peak of the gloom in the markets when it came public.  Think outsourced IT services, but in China rather than India.

ChinaCache International Holdings Ltd. (NASDAQ: CCIH) is one that may or may not hold up after a huge gain last week in its IPO.  The content delivery company in China, again China, had a rough 2009 but the IPO went off wonderfully for those who were allocated shares.  The 95% or so gain on its debut also appeared to be the best one-day jump from an IPO in about 3 years.  6.1 million shares priced at $13.90, but the shares opened up far higher and the trading range has been only $26.00 to $30.70 and the $27.00 opening price was its post-IPO debut so it may be hard to consider this one a rocket IPO considering that very few were given shares.

Qlik Technologies, Inc. (NASDAQ: QLIK) remains unheard of by most, but it remains one of the top IPOs of 2010 and is up more than 125% and has risen.  The company develops and sells software solutions for data analysis and reporting solutions.  It priced at $10.00 in mid-July, above the range, and the 11.2 million shares did get its over-allotment option exercised.  At $22.37, we have a post-IPO trading range of $12.00 up to $27.70.

Molycorp Inc. (NYSE: MCP) is a total anomaly in its model with rare earth oxides (REOs) and the fears that China and other markets will limit shipments of REOs is driving this one.  The problem is that its mines won’t be fully operation until the end of 2011, so investors paying up more than double from the IPO now are making a real commitment.  Shares have been flirting with $30 after a $14.00 pricing at the end of July.  It traded as a busted deal and has a post IPO range of $12.10 to $30.50.  100%+ isn’t too bad for a company where there seemed to be no hurry at all until recently.  The recent news and hype around REOs has shares trading above initial analyst targets as the production won’t be in the earnings until 2012 as this point.

Fabrinet Co. (NYSE: FN) has come one strong with gains of more than 65% after a $16.77 close versus a $10.00 pricing from early June.  The post-IPO range is $9.61 to $18.23.  The offshore company (Cayman-based, with operation in U.S., Thailand and China) provides foundry services to optical component, module, and subsystem original equipment manufacturers.

AutoNavi Holdings Ltd. (NASDAQ: AMAP) is a global position system operator in China and its shares are doing very well still.  Shares are up over 40% from the $12.50 price on July 1 around $17.58 now and the post-IPO range has been $12.62 to $18.24.

IntraLinks Holdings, Inc. (NYSE: IL) was a new entrant on our top IPO list and shares are at $16.97 after a $13.00 IPO price on August 6.  This puts gains around 31% and the post-IPO range is $11.44 to $17.42 for the company which speeds up solutions and communications around cloud computing.  The three analysts that started coverage all gave “Buy”ratings in mid-September.

Green Dot Corporation (NYSE: GDOT) is proof that the creditless portion of the economy is going to be here for some time due to its prepaid credit cards and huge partnership at Wal-Mart.  Green Dot is at $46.10, giving it gains for its premium IPO of almost 30% from the $36.00 pricing in July.  Its post-IPO range is $41.13 to $54.24 and the analysts are mixed on the stock.

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JON C. OGG