Oferta Pública Inicial no Brasil (2004-2006): Uma Abordagem da Avaliação através de Múltiplos e do Custo de Capital Próprio

The pricing process of new shares in IPOs has been under study inseveral countries. This paper initially looks at the valuation process usingmultiples and seeks to classify the new shares under two categories:underpriced or overpriced at the time of the IPOs. Analysis of the cost ofequity, comparing betas at the time of the offerings (usually calculated asthe betas of comparable companies) and the betas of the companies after 12months of trading, is also carried out. Companies in the sample are thosethat went public between 2004 and 2006. Results indicated that companieswere not undervalued, even after some high short-term returns. However thereis no statistical evidence that they were overvalued. Finally, resultsindicated that betas after twelve months of trading are signicantly higherthan the comparable companies’ betas used at the time of the IPOs.