Even before their pricings, the filings from CoreWeave and StubHub have already brought a sense of relief to the IPO market. From the Prophet’s Perspective, the rocky start to the year had amplified uncertainty around whether issuers and investors would look recent headlines around tariffs, taxes, and budget cuts to move forward with IPO plans.
While policy changes will inevitably have tangible effects and must be priced into the market, it’s encouraging to see large offerings progressing. We believe successful executions here could help restore confidence among other prospective issuers and signal that the market is adjusting to a more combative political tone.
As the chart above shows, the quick recovery in the VIX index reinforces the view that the market’s appetite for new listings may prove quite resilient throughout 2025. We won’t understate our enthusiasm to see these offerings coming. CoreWeave, in particular, looks to be an interesting case study in hyperscale at an entirely new level of scope.
We’ll have much more to say on this later in the week.
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IPO Prophet’s value lies in our proprietary signaling process. We analyze Initial Public Offerings using a suite of algorithms refined over the past 20 years. The table above highlights all IPOs in 2024 where IPO Prophet has generated a Bull Signal, demonstrating returns based on our signals and subsequent performance since the opening trade. While our indicators can be applied to longer-term positions, the data above reflects only the first day’s performance, as our signals are designed specifically for issuance day, with positions marked to market at the close of the IPO’s first trading day. To learn more about our process, here. |