IPO Update: Returns Ride Rollercoaster Into Mid-Year As More Biopharmas Take The Plunge

Returns for the 36 biopharma firms that went public in the first half of 2018 – including 14 in June alone – averaged 20.9%, stabilizing after a dip earlier in the year. But while drug developer returns have been on a rollercoaster ride, they're doing better than broader stock indices.

Roller coaster
Stock prices have been up and down for new listings • Source: Shutterstock

Biopharmaceutical companies that launched initial public offerings in the US during the first half of 2018 posted an average return of 20.9% as of July 3, stabilizing after the valuation rollercoaster sped to a major peak then fell to a much lower return earlier this year.

But the IPO class of 2018 still is performing better than broader stock indices – even with almost half of...

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