Legendary investor Warren Buffett famously advises ordinary retail investors to exercise extreme skepticism regarding initial public offerings. He has repeatedly noted that the term "IPO" can humorously be interpreted to stand for "Initial Public Offering" or "Impersonal Profit Opportunity" for Wall Street underwriters rather than the buyer. Because IPOs are inherently priced by sellers and investment bankers to maximize proceeds for the issuing company, Buffett suggests retail buyers rarely secure long-term bargains.