Before investing in an IPO, it's crucial to review the company's fundamentals. Look into its revenue model, profitability, growth prospects, and financial health. Understanding the company's core business, its competitive advantage, and the management team's experience will provide insights into its long-term potential.

One of the most critical factors to consider is the company's valuation in relation to its financials and market conditions. Overvalued IPOs may lead to price corrections post-launch, whereas undervalued ones may offer an opportunity for early investors. It's important to compare the offering price to industry peers and expected growth.