‘I feel like a sucker’: I bought stock for $18 after an IPO. The underwriter’s brokerage house had a $30 price target. It fell below $1. How could they get it so wrong?

Business
2023-03-18

A major brokerage house was the underwriter and had a price target of $30 on the stock. Didn’t the analyst, a professional, do due diligence before releasing such a high price target to the public? It seems they put a high price target to generate interest in the IPO.