hot IPO

Definition

Initial public offering of a stock where the demand is greater than the supply. Hot IPO stock prices rise immediately upon entering the market due to the great demand.

Use hot IPO in a sentence

There was such a demand and a buzz around the stock. They knew they had the demand, and the price was reflecting it, it was a hot ipo.

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Joe wasn't going to invest in the company at first but after speaking to some of his friends in the financial sector and doing more research he came to the conclusion that it was a hot ipo.

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Small savers' capital choices can sometimes suffer from a limited supply of time and attention to spend on research; for example, passing over solid performing investments in favor of something more attention-grabbing such as a hot IPO.

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