The value of asset, tenor and implied volatility are urgently needed for new candidate public companies, underwriters and investors in order to seek the likelihood opportunity of initial public offering whether its. going to be undervalue or overvalue after listed in stock market. Undervalue phenomena of Initial Public Offering (IPO) has common in the stock market around the world also in Indonesia Stock Exchange (IDX). Data.s from 2000 to 2008 shows that there were 116 new public companies with 78.45% were undervalue, 14.66% overvalue, and 6.89% at price on the closing of first trading day. On the closing of the 30th trading day the stock price became 62.92% undervalue, 30.17% overvalue and 6.89% constant. Many research and theories have been emerged to answer this phenomena, but unfortunately no research on determining the Initial Public Offering (IPO) price as fair as it should be in seeking the likelihood opportunity of initial public offering whether it going to be under or overvalue after listed in stock market. The problem identifications are how far the asset, debt, tenor, implied volatility, JIBOR, and public influence the likelihood opportunity of initial public offering whether its. going to be undervalue or overvalue after listed in Indonesia Stock Exchange (IDX). The hypothesis is asset, debt, tenor, implied volatility, and public influence the likelihood opportunity of initial public offering whether its. going to be undervalue or overvalue after listed in Indonesia Stock Exchange (IDX).The theory used is the stock valuation and real option, especially that related with the function of Black & Scholes and Initial Public Offering (IPO).This research methodology is using targeting population, the type is quantitative descriptive, and its characteristic is practical research. The data collection is using documentation study. The analysis data is using the logistic regression model. The population is all trade, service, investment, and financial sector industries at Indonesia Stock Exchange (IDX) since 2000 until 2008.The result of this research show that by using real option method simultaneously asset, debt, tenor, implied volatility, JIBOR, and public significantly influence the likelihood opportunity of Initial Public Offering whether its. going to be undervalue or overvalue after listed in Indonesia Stock Exchange (IDX), and by using real option method partially asset, implied volatility, and tenor influence positively and dominantly significant to the likelihood opportunity of Initial Public Offering whether its. going to be undervalue or overvalue after listed in Indonesia Stock Exchange (IDX) instead of public, JIBOR, and debt. Moreover, the prediction model can predict 74.6% prices after Initial Public Offering (IPO). The conclusion of this research is that asset, debt, tenor, implied volatility, JIBOR, and public simultaneously and partially influence the likelihood opportunity of Initial Public Offering whether its. going to be undervalue or overvalue after listed in Indonesia Stock Exchange (IDX).
