describes how the stock of a newly public company has performed with the offering price as the typical benchmark.

Used to describe how the stock of a newly public company has performed relative to its offering price as the typical benchmark. However, some investors judge performance from the first day close to obtain a better benchmark of IPO aftermarket performance.

The price appreciation (or depreciation) in IPOs is measured from the offering price going forward. However, to obtain a better benchmark of IPO aftermarket performance, some investors track performance from the first day close.