About the IPO Allocation Predictor
When a company goes public, retail investors can subscribe for shares at the offer price. The number of shares allocated depends on your subscription amount and the total oversubscription ratio. This calculator estimates your expected allocation and potential listing day profit, helping you decide how much to subscribe before the IPO closes.
How IPO Allocation Works
Estimated allocated shares = shares applied for ÷ oversubscription ratio. For example, if you apply for 250 shares and the ratio is 50:1, you would expect about 5 shares. The listing day profit is then calculated as: allocated shares × offer price × expected listing return (%). This is a best-estimate only — actual allocation can vary by underwriter rules.
FAQ
Allocation is typically proportional to subscription amount relative to total oversubscription. Higher oversubscription means fewer shares per dollar subscribed.
A ratio of 50:1 means total subscriptions were 50 times the available shares. The higher the ratio, the smaller your expected allocation relative to what you applied for.
No. While many hot IPOs trade above their offer price on Day 1, some trade below. Always research the company fundamentals and market conditions before subscribing.