Last week’s answer

I’ve grown from an 1865 Iowa grain elevator business to become a Minnesota-based global marketer, processor and distributor of agricultural, food, financial and industrial products and services. My businesses include steel mills, industrial oils and lubricants, livestock feeds, fertilizer products and commodities trading. Among other things, I process corn, wheat, cereal, apples, peanuts, soybeans, hazelnuts, sunflower seeds, beef, pork, chicken and turkey. I employ nearly 100,000 employees in 61 nations and rake in about $60 billion in revenues yearly. You can’t invest in me, because I’m a privately held company. Who am I? (Answer: Cargill)

I-P-Owww!

During the stock market bull run a few years ago, I tried desperately to get shares of any initial public offering (IPO) through discount brokerage Schwab. They finally rewarded me with 100 shares of an emerging company at $20 per share. I sold it a few months later at $70 per share.

I’d made a cool $5,000 without breaking a sweat and thought I had a good thing going. I then cried when I saw the shares soar beyond $200. Then the bubble burst and the stock began a long descent. I felt this was my lucky stock, since it had treated me so well. So I tried some fancy moves, buying 100 shares at a time at $50, $40, $30, etc. The stock recently sold for less than a dollar per stub, and I lost much more than I made on it. — Colin Kau, Honolulu

The Fool Responds: Ouch! IPOs are often worth ignoring, as the companies can be unproven and the stocks volatile and risky. More important, resist becoming sentimental or emotional about a stock. Instead, evaluate its health and prospects as objectively as you can.