More Cons Than Pros for This Week's IPOs

NEW YORK (TheStreet -- The IPO market continues to deliver a full slate of offerings, and this week is no exception.

Year-to-date, 361 IPOs have priced, a 247% increase over 2009. While not all have delivered great performance, these new offerings have so far delivered a 17% return on average.

Chinese IPO's have been particularly well received by investors, the latest entry being Xueda Education Group (XUE). The buzz around this company was a good indication of how it would perform in the aftermarket, as was the strong performance of other Chinese education companies, such as Ambow Education (AMBO), which is up 28% since it went public; and TAL Education (XRS) priced at $10 then shot up to $18 and is lately trading around $15.00.

Xueda was priced attractively to its peers and ended up going public at $9.50, higher than its expected range of $7.25-$9.25. The stock is already up 50% and lately trading over $13.00. The most established of the Chinese education companies is New Oriental Education (EDU), which has jumped 58% for the past 12 months. Since the previous Chinese education companies performed so well in the aftermarket, it was safe to assumed Xueda would also do well.

IPO Desktop's Francis Gaskins points out which offerings have the highest chance of success this week. He dives deep into the offering language to find out whether the company is a private equity bailout or a company that will reward investors.

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