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Tuesday, August 26, 2014

IPO VIEW-Fund managers look to make room for Alibaba, (NASDAQ: AMZN)

Investors are looking over portfolios to make room for Chinese e-commerce giant Alibaba Group Holdings Inc's market debut next month - and that means some less attractive stocks that funds are holding might be shown the door. The initial public offering, which could top $16 billion to become the largest-ever IPO by a technology company, is expected as early as next month after Alibaba management kicks off a two-week investor road show after the Labor Day weekend.As investors take a hard look at their portfolios, it may trigger a veritable garage sale of names that are failing to impress Wall Street, including U.S. e-commerce rival Amazon.com Inc, fund managers said."Any company that didn't meet expectations and give a rosy outlook is probably being considered as a sale candidate to make room for a name like this," said Jim O'Donnell, chief investment officer of Forward Securities, which has $5 billion in assets under management."There won't be wholesale turnovers of portfolios, but I imagine Amazon is being looked at," he added.

Amazon.com, Inc. (Amazon.com) serves consumers through its retail websites and focus on selection, price, and convenience. Shares of AMZN traded higher by 0.73% or $2.43/share to $334.02. In the past year, the shares have traded as low as $279.33 and as high as $408.06. On average, 3772550 shares of AMZN exchange hands on a given day and today's volume is recorded at 1960978.



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