SAN FRANCISCO - When Internet companies queuing to go public this year, here's something to remember: Latest Internet fever Wall Street is far from the giddy days of the dot-com boom, when investors bought shares as impulsive as parties.
Technology Shares today are the lowest in more than nine years, at least judging from a benchmark.
This year could provide the most initial public offerings of technology stocks since 2000. But venture capitalists bankroll, as high-tech startups are not pouring money into the Internet as they once did. And even fast-growing Internet companies and LinkedIn Pandora Media lost some luster after dazzling the audience when she investors recently.
All these factors signal that cooler heads prevail, especially with the global economy on shaky ground.
This year 28 of the 74 IPOs completed in the U.S. by technology companies according to IPO investment advisory firm Renaissance Capital. If, as expected, an extra 31-tech IPO to be completed by the end of this year, most in the industry since 2000.
The growing enthusiasm for Internet services reflects how much the Internet has matured since the dot-com boom. It is estimated that 2 billion people worldwide have Internet access now, about eight times more than in 2000. High-speed Internet connections are common, and mobile devices allows you to stay connected from virtually anywhere at anytime.
"I can not see the bubble, venture capitalists Marc Other Essen, best known as founder of the pioneering Web browser Netscape, told The Associated Press in March. Other Essen has invested over the Internet. Some are even profitable, almost unheard of in the late 90 'ies.
"I think people are confusing success with a bubble," he said. "Maybe things just work."
Well established technology companies has fallen into disfavor. To measure distance, consider the price-to-earnings or P / E ratios of technology stocks in the Standard & Poors 500 index indicator.
P / E number divides a company's share price by the earnings per share. The higher P / E, the more likely a stock is overvalued by the market. Based on the results reported for the past year, the figure for the S & P 500 tech stocks 14.1, the lowest since March 2002. The Internet bubble inflated, it was 66.4.
Even Google, the Internet's most profitable company has not received any love before it's too late. Although there is still robust earnings rise, shares in the company cases more than $ 100, or 18 percent this year.
The stock of Pandora Media, an Internet radio station that fell below the IPO price of $ 16 in his second day on the market, suggesting investors second thoughts about a company that does not become a profit with an audience of 94 million to be . In another sign of frugality, LinkedIn has the stock lost more than a quarter of its value since it went public.
The warning may be short-lived, though. Groupon online ticket vendor has announced plans for an IPO that analysts wonder if the market value will exceed $ 25 billion - more than Google on the day it went public.
Groupon Revenues are growing at a much faster pace than Google's was when it went public. Unlike Google, Groupon but is losing money - $ 413 million last year. Company IPO is expected in September or October.
Other long-awaited Internet IPO Zynga, the creator of the popular web games like "city Ville," and Facebook, with over 500 million users, is the most likely candidate for the current Internet fever delirium.
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