Did you miss out on the IPO of Vonage? Lucky you! If you aren't familiar with the IPO, it opened up at over $17 a share and then quickly plummeted and has been hovering somewhere around $6.50 to $7.20. As of the writing of this, it's sitting at $6.64.
The risk of buying Vonage(VG) is extremely high. P/E is extremely low and there has been a few mentions of bankruptcy looming in their future.
Investing is a game of risk and reward. In this case, the risk with VG is very high. The potential for reward could also be high, but until VG shows some signs of life, I don't believe that it's the right time. As I mentioned earlier, the price/share has been hovering either just below $7 or just above it.
Where to buy. What do I see as the hot spot? If things are done right, VG could begin turning a higher profit. At that time, price/share should begin to rise. At about $7.50, begin thinking about buying. This is of course dependent on the current financials.
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I'm a late 20's dabbler in all things online. I run several blogs and am a budding online entrepreneur. Basically, that means I spend an amazing amount of my time online and make little money doing it.
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