Boston, MA 03/28/2014 (wallstreetpr) – The successful Initial Public Offering (IPO) of common stock shares of TriNet Group Inc (NYSE:TNET) ended up exposing more than was ever known beyond the walls of the San Leandro-based company. Yet all this may just define who investors will trade the stock during its listing life.
When it comes to picking up a newcomer to the public market, most every investor is cautious, as recent IPOs of tech stocks ended up bungled and resulted in untold financial losses. A case that never leaves the mind is that of the hype-soaked Facebook Inc (NASDAQ:FB) in May 2012 IPO which eventually nosedived.
Now that TNET has joined the publicly traded stocks league, there will be more eyes tracking the stock, the management behind it and the customers it deals with. The direction which the stock takes since its IPO will be more often that note be decided by what the management says or fails to say on important market or industry issues.
Introducing the new kind of the block
New York Stock Exchange after pulling Twitter Inc (NYSE:TWTR) with all its hype away from NASDAQ which is known to be the hub of technology stocks, has just won another hot stock, or potentially hot stock in the form of TriNet Group Inc (NYSE:TNET).
TriNet is a provider of human resource functions through its various technologies that have become very popular among employers, especially health insurance companies. The company is more of an outsourcing business serving many different small and medium-size businesses.
According to CEO Burton Goldfield, the company which is helping businesses and employers deal with complex HR issues, started in the kitchens of San Leandro. That was a humble beginning, but the company, though still humble is taking on established competitors across the nation in winning business contracts. And its successful IPO tells the story of a company pulling all stops to beat giants no matter their station in business.
And something interesting to note, even with the fresh cash infusion, thanks to the successful IPO, Mr. Goldfield who rang the opening bell to start trading at NYSE, said the company is not interested in a high-profile home, at least not now.
Does the story spark an idea?
That TriNet Group Inc (NYSE:TNET) came from kitchen office to a big company undergoing immensely successful and admirable IPO tells something about the respectable management running the company. And this is where there is hope. With a respectable management and a textbook business plan, shareholder value is almost sure to grow. But we will keep a close eye here to see what happens in the coming weeks or even months.
