Our unconflicted and objective approach to IPO research protected investors from losing 39% of their assets in 2021. Figure 1 provides details.  

The IPO warnings in a recent CNBC feature on our common-sense approach to research saved investors 16%.

Figure 1: Performance of IPOs/Direct Listings Published on in 2021: Through 12/15/21[1]

TickerCompanyPublish DatePerformanceS&P 500 PerformanceVs. S&P 500
HNSTThe Honest Company5/4/21-63%13%-76%
BMBLBumble Inc.2/10/21-54%20%-74%
MQMarqeta Inc.6/7/21-47%11%-59%
HOODRobinhood Markets Inc.7/19/21-49%7%-56%
SQSPSquarespace Inc.5/17/21-40%15%-55%
DIDIDidi Global Inc.6/21/21-49%4%-53%*
COINCoinbase Global Inc.3/5/21-32%14%-46%
SGSweetgreen Inc.11/15/21-41%0%-41%
BIRDAllbirds Inc.9/27/21-31%6%-37%
COMPCompass Inc.3/29/21-24%11%-35%*
WRBYWarby Parker9/13/21-20%8%-28%
GTLBGitlab Inc.10/8/21-13%7%-20%
DNUTKrispy Kreme6/25/21-2%10%-11%
EDREndeavor Group Holdings4/28/2112%12%0%
RIVNRivian Automotive10/25/218%1%7%

Sources:  New Constructs, LLC and company filings.
*Performance measured through date position was closed. We closed DIDI on 8/18/21. We closed COMP on 8/18/21.

All of our research leverages more reliable fundamental data[2] that overcomes flaws with legacy fundamental datasets to provide a more informed view of the fundamentals of companies and a new source of alpha.

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Our stock picks regularly earn a #1 ranking across multiple categories. Most recently in December, SumZero ranked us #1 in Last Twelve Months, Long, Value, Large-Cap, Small-Cap, and Consumer Discretionary.

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This article originally published on December 16, 2021.

Disclosure: David Trainer, Kyle Guske II, and Matt Shuler receive no compensation to write about any specific stock, sector, style, or theme.

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[1] Performance of IPOs for which we published a report prior to the company’s IPO is tracked from the opening price for each IPO’s first trading day.

[2] Three independent studies prove the superiority of our data, models, and ratings. Learn more here.

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