The 2025 IPO Comeback Tour

Published: Thursday, December 25, 2025 at 5:26 am

BNN.org Summary: 2025 IPO Market Recap and 2026 Outlook

The IPO market experienced a significant resurgence in 2025, fueled by factors like falling interest rates, a resilient market, and the aftermath of the 2022 bear market. The third quarter of 2025 saw the largest capital raises since 2021, with IPOs in the first half of the year up over 75% compared to 2024. The presidential election cycle also played a role, as IPOs tend to perform better in the year following an election.

A key trend in 2025 was the dominance of AI-related IPOs, which accounted for a substantial portion of the capital raised. Companies like CoreWeave and Figma, which are in the AI space, attracted significant investor interest. However, the potential for an AI bubble burst in 2026 raises concerns about the future of the IPO market.

Looking at specific IPOs, CoreWeave, Figma, Klarna, and Circle stood out. CoreWeave, an AI-focused company, saw its shares skyrocket after its IPO. Figma, a web-based collaborative design platform, also performed well. Klarna, a European bank, and Circle, a crypto company, were also notable. Circle's plans to become a federally regulated trust bank are particularly noteworthy.

Looking ahead to 2026, the potential IPO of SpaceX looms large. While the company's high valuation and potential impact on the market are exciting, it could also overshadow smaller IPOs. Analysts generally advise caution when investing in IPOs on day one, citing the lack of information and the potential for existing investors to use the IPO as an exit strategy. However, some investors believe that if a company is truly paradigm-shifting, a small investment on day one might be worth the risk.

BNN's Perspective: The 2025 IPO market's rebound is a positive sign for the economy, but the concentration of investment in AI-related companies warrants caution. While the potential SpaceX IPO is exciting, investors should carefully consider the risks and potential impact on the broader market before making any decisions.

Keywords: IPO, 2025, 2026, SpaceX, AI, CoreWeave, Figma, Klarna, Circle, Investment, Market, Stocks, Elon Musk, Presidential Election, Interest Rates, Capital Raises.

Full Story