Houston, Joel; James, Christopher; Karceski, Jason - In: Journal of Financial and Quantitative Analysis 41 (2006) 01, pp. 111-138
We examine how analysts establish target prices for IPO firms and whether comparable firms used to support target prices are helpful in explaining IPO offer prices. During the bubble period of 1999 to 2000, the average offer price was set at a discount relative to comparable firm valuations. In...
