Despite the rather disappointing performance from Medibank Private Ltd (ASX: MPL) since its float on Tuesday, the bankers who led the health insurer's IPO are still confident that 2015 will be another strong year for floats.
Indeed, now certainly seems like the right time for companies to do so. Investor confidence is still strong with the S&P/ASX 200 Index (Index: ^AXJO) (ASX: XJO) hovering near a six-year high while interest rates are also set to remain low, meaning investors will likely continue to rely on the equities market to deliver them with superior returns through 2015.
As quoted by The Australian Financial Review, Goldman Sachs CEO Simon Rothery said: "The IPO market remains open for the right names and the right companies… The pipeline for next year is building well. The macro-environment is very supportive of the equity markets with global interest rates staying very low. So we're very confident about continued listing for next year."
Already, there are numerous companies getting set for an ASX debut. Amongst them are aged care operator Estia Health Limited (ASX: EHE), which is expected to list on 5 December 2014, as well as vacuum cleaner retailer Godfreys Group Limited (ASX: GFY), and early childhood education provider Evolve Education Group Limited (ASX: EVO).
While shares of Medibank Private have thus far fallen in price (compared to their opening price), there is certainly potential to make money from these newly listed entities. As a perfect example, shares in dentistry group Pacific Smiles Group Ltd (ASX: PSQ) have surged more than 45% since their debut on Friday last week.
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