Coming into this year, there was a lot of optimism that it would be a strong year for initial public offerings (IPOs), and that optimism has been fulfilled – IPOs are back!
And, as we will show, both Nasdaq IPO pulses suggest this strength will continue through 2026. The caveat is that the US IPO market will remain halted until the government shutdown ends as the US Securities and Exchange Commission is required to review and approve IPO filings. Historically, government shutdowns have lasted an average of eight days, with the longest being 35 days.
US IPO pop returns second strongest since at least 2014
With less than three months left until this year ends, 2025 is already the strongest year for IPOs since (at least) 2021 on several metrics:
- Most IPOs (277, including 175 operating companies)
- Highest capital raised ($50 billion)
- Most Large IPOs with $500+ Million Cap Raises (22)
- Strong performance on the first day
On a cap growth-weighted basis, US operating companies have seen an average increase of about 34% in a day (chart below). he is double Average for 2023 and 2024, and the second best year since at least 2014.
Of the 175 operating company IPOs, 72 increased by more than 10%, 18 increased by at least 50%, and eight increased by more than 125%!
Chart 1: Operating company IPOs are rising an average of +34% on first day in 2025
Importantly, we see companies performing well even after day one. As a group, 2025 IPOs are up 27% from their IPOs this year (chart below, green line) – nearly double the S&P 500’s 15% year-to-date gain. And we see that larger IPOs, as measured by IPO capitalization (circle size), have delivered better returns this year.
Chart 2: Large companies have seen some of the best returns this year
Nasdaq Stockholm in Europe has raised 6 times the capital compared to last year
And it is not that only the American markets are going through a good year.
Despite having fewer new listings this year (16 so far) compared to last year (23), Nasdaq Stockholm has raised almost 6 times the capital (€6 billion, so far) than last year (€6 billion so far). This is the most capital ever raised in Europe and includes the largest IPO in Europe since 2022.
Stockholm has also seen Pop! On average, IPO pop has increased by more than 19% – like the US, this is the second best since at least 2014 – and two IPOs saw pops of more than 30%.
Chart 3: Stockholm IPOs rising on average +19% on first day in 2025
IPO pulses indicate that the boom in IPO activity will continue through 2026
Following the close of the third quarter, we are also able to update our forward-looking IPO pulses. They suggest that the strength in IPO activity will continue into early 2026.
Nasdaq US Pulse
The US IPO pulse increased for the fifth consecutive month and reached an eight-month high (blue line below).
The revival in the IPO pulse since April coincides with a rebound in US IPO activity from a slight decline in the second quarter to a 3¾-year high in the third quarter (64). With the IPO pulse increasing further in September, IPO activity is likely to remain bullish.
Chart 4: Nasdaq IPO pulse hits new high, hits eight-month high
NASDAQ STOCKHOLM PULSE
It’s a similar story in Stockholm, with the Nasdaq Stockholm IPO Pulse also rising for five consecutive months, reaching a seven-month high in September (chart below, blue line).
And, like the US, Stockholm IPO activity increased from the second to the third quarter. This is despite the fact that, since 2015, the third quarter has the lowest average of IPOs (due to the summer holidays), and the second quarter has the highest average. Therefore, Stockholm IPO activity is likely to remain bullish early next year, with a clear bullish trend in the Stockholm IPO pulse.
Chart 5: New uptick in Stockholm IPO pulse signals continued uptick in IPO activity in 2026
Strong end to the year possible for America and Stockholm
This year has already been a strong year for IPOs in the US and Stockholm, with investor interest returning.
Both of our IPO pulses are at new highs, with data suggesting IPO activity is likely to end the year strong.
