Story updated with Groupon's closing price.
NEW YORK (
TheStreet) -- It's time for investors to get real about IPO's after
(GRPN - Get Report) launched its
For those dabbling in IPOs, it's clearly always been a stock picker's game. Even so, the game may be changing in the favor of companies like Groupon.
Every time a company lists on stock exchanges and pops in its first day of trading, it's hard to escape the excitement. For example, Groupon sold nearly 5% of the company and its first day of trading sent shares to $26.11 -- more than 30% above its $20 a share offer price.But while the S&P 500 is up nearly 2% and Dow Jones Industrial Average is up nearly 4% in the last year, the 193 total IPO issues done in that time have fallen an average of 9.3% according to data compiled by Bloomberg. Some of those IPOs like LinkedIn (LNKD - Get Report), which has nearly doubled, and Dunkin' Brands (DNKN - Get Report) are providing outsized gains, while others like Renen (RENN - Get Report), Vanguard Health (VHS - Get Report) and Freescale Semiconductor (FSL - Get Report) are down at least 30%. In the last year, the five biggest IPOs came from private equity portfolios
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