I agree with your point, but you misread my statement. We were talking about whether a company would have an easier time raising money once they were correctly

I agree with your point, but you misread my statement. We were talking about whether a company would have an easier time raising money once they were correctly priced. For the reasons you listed, it was hard for the underpriced company to raise capital and too easy for the overpriced company. But those distortions go away once it is fairly priced.