Emerald Expositions looking up ahead of Quiet Period Expiration
One of the determining features of a company’s performance is its management. If you want to see how that works, just look at Uber’s market presence right now. Emerald Expositions is just one of those companies propelled by such an efficient leadership sit has to do well.
Back in 2016, Emerald Expositions CEO David Loechner was named the trade show industry icon of the year by TSNN. In his acceptance speech, Loechner said that he owed the award to the staff of Emerald Expositions. “It is motivating to be surrounded by such loyal, industrious people,” Loechner said at the time. Customers also love that sort of thing.
Emerald Expositions is one of the largest trade show organizers in the US. It is one of four major firms that make up to 9% of the total North American market on their own. Because of the friendly culture of the company, many firms have sought out its events. These companies later commented that Emerald Expositions shows were one of the most beneficial to their companies. The reputation that the company has built since its 2014 incorporation has seen 31 of its show ranked top 250 in the US by TSNN. It has also helped the company stock jump to the levels that it sees now.
Back in April Emerald Expositions priced its IPO at $264 million by selling 15.5 million shares at $17 each, below the initial pricing range of $18 to $20. On the first day of trading, Emerald Exposition shares hit a high of $19.50, +14.75% above the opening price. With that boost in stock price and with the company’s high growth projections, Seeking Alpha gave Emerald Expositions a bullish recommendation. You could say that these analysts were right after seeing how the company’s stock is doing now.
The California-based company is trading on the New York Stock Exchange under the ticker label EEX. The company’s stock started out at $17 but has shot up +24.4% to an impressive $21.05 by close of business day on Friday. Emerald Expositions has not revealed the full extent of its proceeds. That’s because its underwriters’ overallotment period is not yet over.
Emerald Expositions went all out when it chose the banks that oversaw its IPO. Among the banks the firm chose are big names like Goldman Sachs, Barclays, Credit Suisse and BofA Merrill Lynch. In the week of May 22nd, 2017, the quiet period for Emerald Expositions will expire. Analysts from these banks will give their recommendations for the company’s stock. At the moment, it looks like all those recommendations are going to be positive.
Emerald Expositions is a large firm, and because of that, it has certain economies of scale. Its size gives it bargaining power in the market. The company additionally made substantial and steady revenue in 2015 and 2016, with 2016 having a revenue stream of $323.7 million. With the stable financials and the benefit of size, Emerald Expositions is a strong contender in a growing market. That alone should have it at outperform. After the recommendations, the company’s stock performance will most likely be boosted. Emerald Expositions might turn out to be the big investment that most people are looking for.