this one is a long term hold for me as well. I just like to nibble out a position When dealing with an ipo due to the volatility. Start with a small amount of shares, if it drops like many do...buy some more. If it never does and just goes up...well, I’ve got a small amount of shares that I make a nice profit on...worse things could happen.
but yeah, their guhment contracts should be enough to value this company quite a bit more years from now
The way I see it, the only way I see my positions really return a ton of value is if I get in on the ground level.
I don't have the money to buy large numbers of shares in like FANG.
As a young-ish investor I look for value where I can get a decent count of shares, and bet on the company to grow.
Lucky for my my employer went public last year, and I have about as good a read on an investment as I can.
I bought into our IPO.... I bought more when the market dove in March.... and we now have an employee stock purchase plan that gives a discount (20% I believe) on the share prices.
I put in for a decent % holding for that plan, but the concern I have is they pull your money and hold it, then buy stock with the total collected after 12 months and you get your discount on that purchase at that point.
So if the timing is bad, I might get my 20% discount but the share price may have gone way high.
In any case, I plan to compile a pretty sizeable position of our company stock.... and if my feel on this is right, I'll be quite wealthy in 5-10 years.
