Since Luckin Coffee (NASDAQ:LK) went public in May 2019, LK stock is up 103.8% through Jan. 8. If you bought some of its IPO shares and are still holding, that’s quite a return.
Quite honestly, I did not see this coming. While I’ve been burned in the past by being overly skeptical of new IPOs, Luckin was one of my worst calls of 2019.
In September, I called Luckin one of the seven worst IPO stocks of 2019, suggesting that the fast-growing allure of China for North American investors was going to come back to haunt them. In the case of Luckin, so far that hasn’t been the case.