European Companies Outperform U.S. Listings, Report Finds
A new report by financial data company Mergermarket challenges the long-held assumption that European companies achieve better valuations by listing on U.S. stock exchanges. The research indicates that over the past decade, European firms that listed domestically have significantly outperformed their peers who chose to list in the United States. This finding contradicts the prevailing belief that accessing the deep liquidity of American markets leads to superior share-price growth. The analysis suggests a potential shift in strategy for European corporations considering cross-Atlantic listings, as the historical data now points to stronger market performance when remaining home-based. The report serves as a critical update for investors and corporate strategists evaluating global capital raising options.
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European Companies Outperform U.S. Listings, Report Finds
A new report by financial data company Mergermarket challenges the long-held assumption that European companies achieve better valuations by listing on U.S. stock exchanges. The research indicates that over the past decade, European firms that listed domestically have significantly outperformed their peers who chose to list in the United States. This finding contradicts the prevailing belief that accessing the deep liquidity of American markets leads to superior share-price growth. The analysis suggests a potential shift in strategy for European corporations considering cross-Atlantic listings, as the historical data now points to stronger market performance when remaining home-based. The report serves as a critical update for investors and corporate strategists evaluating global capital raising options.
WSJ.com: Markets