Cramer Says Heelys IPO Rolls in the Dough

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By Douglas A. McIntyre Published
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ON tonight’s MAD MONEY, Cramer said that it is important to know your IPO and this one could have you rolling in the dough.

Heelys (HLYS) hits tomorrow, and Cramer said this one may be huge.  This may be a fad, but it is a money maker.  This is pricing between $16 and $18 and that is too low and should get a big premium.  How strong is the fad, what will you pay and where do want to sell it?  Cramer said the accelerated revenue growth and these shoes are all over.  He thinks the roller shoe fits into the individual sports massive growth fad.

He said if it had a CROX, ZUMZ, or UARM that this was a much larger premium.  He thinks you can pay $21 to $23 tomorrow.  If you can buy in low $20’s then you have to sell if it goes to $30 because it is a fad.

By the way, when Cramer does a set-up AHEAD of an IPO it actually makes it very hard to trade for retail.  The people that can get the IPO at the pricing are happy, but this just adds in extra premium.

Jon C. Ogg
December 6, 2006

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About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

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