CNBC’s Jim Cramer on Tuesday highlighted his list of “dirty dozen” companies that illustrate the losses incurred by investors who have poured their money into IPOs and other risky stocks.
“Some of the most egregious offenders were the dirty dozen who hit you with repeated unsportsmanlike conduct … and ultimately put your portfolio on injured reserve,” he said.
Here’s the dirty dozen:
- upstart
- GoodRx
- Confirm
- Curevac
- Speed of Light
- asana
- Oatly
- Unity software
- compass
- RLX technology
- Just do
- coin base
Cramer created his list by screening 2020 and 2021 IPOs that are now 50% or more below their 52-week highs.
This year’s market downturn, spurned by persistent inflation, Federal Reserve interest rate hikes and Russia’s invasion of Ukraine, has hit the IPO market hard as investors have switched from risky growth stocks to more stable names.
U.S.-listed companies raised just $4.8 billion through their IPOs in the first half of this year, compared to over $155 billion in 2021, according to EY and Dealogic.
Cramer added that the decline in SPACs, or special purpose acquisition companies, is reminiscent of the dot-com crash.
“Just like in the dot-com era, Wall Street brought a new group of investors into the pool — millions of them — and they’re tipping over because the pool is now poisoned,” he said.
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