US IPO Market Sees Surge in Activity

The US IPO market is experiencing a surge in activity, with a record number of companies going public in the first half of 2021. This has led to a significant increase in the number of new listings and a rise in the total amount of capital raised. The IPO market's growth is attributed to favorable market conditions, increased investor interest, and a rise in the number of companies seeking to raise capital through the IPO route.

The US IPO market has experienced a remarkable resurgence in the first half of 2025, with a record number of companies going public. This surge is attributed to favorable market conditions, increased investor interest, and a rise in the number of companies seeking to raise capital through the IPO route.

The year started with high expectations, fueled by the belief that the Trump administration's focus on deregulation and economic growth would lead to a flurry of new IPOs. The market responded with a burst of activity, reaching a total of 103 IPOs in the first half of 2025 on U.S. exchanges, compared to 78 for the same period in 2024 [1]. The largest IPO so far has been for Venture Global, a liquefied natural gas exporter, which successfully raised $1.75 billion in January; the year’s first-half IPOs raised $17 billion in total [1].

Despite an initial burst of exuberance, March and April were rocky due to macroeconomic forces such as tariffs and persistently high inflation and interest rates, causing some firms to put IPO plans on ice. However, equities rebounded in the late spring, and the IPO market picked up again. Analysts and investors are optimistic that IPOs will remain strong into the fourth quarter, following a typical period of quiet through Labor Day [1].

Several high-profile success stories have bolstered investor confidence. Circle Internet Group, a stablecoin issuer, saw its share price surge from $69 to over $263 after its June 5 IPO. CoreWeave, an AI infrastructure company, also experienced a significant increase in its share price, climbing from $40 to $132 in mid-July [1].

Analysts view the current market conditions as a return to form, expecting 2025 to be the best year for IPOs since 2021. This rebound is seen as a step in the slow and steady climb back to pre-COVID levels of activity. Companies coming to market this year are larger, have stronger growth fundamentals, and are more often profitable or on a path to profitability, which can help performance not only at the IPO but after [1].

The IPO market is also seeing a broader range of sectors preparing for their debuts, including technology, health care, fintech, energy, and defense. Companies like payment processing company Stripe and ticket exchange StubHub are generating significant excitement about their potential debuts [1].

For the average retail investor, IPOs may not represent immediate buying opportunities due to lockup periods and other restrictions. Initial trading days can be extremely volatile, which may not appeal to long-term investors. However, the IPO market is influenced by macroeconomic conditions, such as trade policies and interest rates, which can impact the number of companies going public [1].

In summary, the US IPO market is experiencing a strong resurgence in 2025, driven by favorable market conditions, increased investor interest, and a rise in the number of companies seeking to raise capital through the IPO route. This trend is expected to continue, providing opportunities for discerning investors.

References:
[1] https://fortune.com/2025/07/28/ipos-stock-market-circle-chime-coreweave-etoro/