"The hottest IPO of late has been the offering from language instruction company Rosetta Stone (NYSE: RST)," notes Bill Martin.

In his BullMarket.com, he suggests, "The desire, not to mention need, to learn other languages in a global economy means the company is looking at a potentially huge market." Here's his review of the IPO:

"Shares of Rosetta Stone were priced at $18, which itself was above the anticipated range, but the price surged in the company's first day of trading on April 16th. The stock rose to $32.54 before retreating.

IPO. Initial public offering. Or as they used to be known among the Wall Street cynics: "It's probably overpriced." Not any more. Nothing that is too expensive will fly these days. In fact, if it's not a bargain, don't bother to talk with the bankers. Investors want history, especially ones with increasing sales and profits.

The year 2009 has already produced more IPOs than all of 2008. Sound impressive? Here are the numbers: this year there have been seven. So there aren't a lot of companies going public right now, but still, there are some. And most of them are doing well.

Rosetta Stone Inc (NYSE: RST) was recently up 64 cents to $29.60. RST, a provider of technology based language learning solutions, is scheduled to report Q1 EPS after the market close today. RST June option implied volatility of 75 was above its two-week average of 68, according to Track Data, suggesting slightly larger price movement.

NASDAQ 100 (NASDAQ-QQQQ) overall implied volatility was at 31; 26-week average was 39.

Option Update is provided by Stock Specialist Paul Foster of theflyonthewall.com