PERFORMANCE OF BRAZILIAN COMPANIES AFTER THEIR IPO: SHORT AND LONG TERM EVIDENCE
The purpose of this article is to analyze the short-term and long-term returns of the stocks of Brazilian
companies that made IPO between 2004 and 2011. The results show that the short-term performance of
Brazilian IPOs is positive, but significantly lower than the performance in various countries and Brazil itself
in past decades, while the long-term performance of IPOs is negative, confirming several international
studies. In addition, for companies that have made their IPOs in 2007, at the height of the wave, negative
returns were observed earlier, suggesting a significant higher assessment on the price at the time of
the launch of their shares.