RPT-IPO-VIEW-Tech issues pop and sizzle, one misfires

(Repeats Friday column)

By Lilla Zuill

NEW YORK, Oct 14 (Reuters) - A wave of hot, new technology issues has been spicing up otherwise lackluster U.S. initial public offerings, but investor exuberance may have become irrational last week, analysts say.

For the most part, investors lining up for a diverse selection of recent tech offerings -- from software makers to digital television companies -- have been richly rewarded.

Initial investors in software maker VMWare Inc (VMW.N: Quote, Profile, Research, Stock Buzz) got a 76 percent boost, with the shares closing up at $51 a share on Aug. 14, the first day of trading. The shares have continued to rise, more than doubling from the first day to close at $102.98 on Friday.

Athenahealth Inc (ATHN.O: Quote, Profile, Research, Stock Buzz), an Internet-based provider of administrative services to physician offices, also fared well. The stock jumped 97 percent in its September debut and has continued to rise.

"Investors are piling in (to technology offerings) and bidding (them) to stratospheric heights," said Scott Sweet, managing director of research firm IPOboutique.com. "This is one of the wildest new issue times, certainly since 2000."

The surge in new-tech issues coincides with strong performances from technology stocks in general in recent weeks. The tech-laced Nasdaq Composite Index .IXIC has gained about 8.5 percent since the beginning of September. That compares with the Standard & Poor's 500 Index .SPX and Dow Jones industrial average .DJI rising about 6.2 percent, over the same period.

In contrast, many new issues from other sectors have performed modestly, or declined in early trading.