please I need a respond for this answer ASAP .

These recent IPO examples have not been successful mostly due to the fact that they were issued too high a valuation. For example, Lyfts stock price shortly after they went public was 15% below its IPO price at $61. Further, Lyft reported a larger than expected loss of $1.1 billion for the first quarter on top of a $910 million loss for all of 2018. However, it is also important to not judge an IPO by how it does in the first few months (e.g., Facebook). This recent surge is not surprising as, often, IPOs come in waves. As of right now, Lyft has no debt which is a very desirable financial position to be in. The current debt to equity ratio is .15 (debt that money that is borrowed compared to received credit). It is important to evaluate the company carefully to yield both short-term and long-term success. On one hand, IPOs can be described as underpriced in this case because it comes from a lack of foresight for the demand for the stock and the general uncertainty and risk among other factors (e.g., underwriters want to carefully examine and control the risk involved while also rewarding the investors fairly, and the fact that investor demand eventually drives the price up to its market value). On the other hand, like Lyft, a company can be overpriced because the company wants as much money generated as possible. Furthermore, the key to success is preparation. Planning the execution of the IPO under careful management is complex but critical. The better prepared a company is, the more efficient and less costly the process of going public can be.

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To have a successful IPO, I think that a few things are needed: 1)a large user base or interested user base. As you can see from Uber's IPO they still raised a very large sum of cash even though their business is not profitable and may not ever be profitable. 2)Build the hype. For an IPO, you want as many people to be interested as possible, so that all of your shares get bought. If you can create hype for that, not only will it make sure that the shares are bought, it will also drive the prices higher. 3)Time it right. As the IPO market oscillates between investors being interested in them and not so must interested, timing of the IPO needs to be balanced between the needs of the company and the feeling of the market.