Unlike some of the IPO crop of late, Fusion-io (FIO) has delivered, despite coming public in a rough patch for the overall market. After the traditional intraday run up on the first day of trading, the stock actually closed near the low of the day in the mid $22s. It flopped around and fell a bit as the market was selling off sharply, but during the past 7 sessions has notched a gain of some 40%. Indeed each day it has made a higher closing high, in impressive fashion – regardless of what the overall market has done.
While it is now officially very pricey, and I’m worried about the market reaction to its first earnings report considering the company already warned the Facebook revenue would regress – the price action is hard to argue with. Even those poor souls who bought at the height of the day one frenzy are now at least break even.