The US IPO market just had its fourth consecutive up-week. The Renaissance IPO Index gained +3.5%, and the S&P 500 returned +2.9%. Meanwhile, the VIX Volatility Index fell to its lowest point in a month.
The IPO space moves fast, and rebounds can happen just as quickly as corrections.
We’re not out of the woods yet, but the clearing is in sight. Some “tariff volatility overhang” will likely remain until (1) the effects of the new tariffs are understood, (2) the US-China trade war is resolved, and (3) new trade agreements are struck elsewhere (the 90-day pause lapses in mid-July).
A sign the IPO market is thawing: Two insurance companies launched NYSE IPOs, pricing the week ahead. Florida residential property insurer American Integrity (NYSE: AII) aims to raise $110 million, while Apollo-backed specialty (re)insurer Aspen Insurance (NYSE: AHL) is targeting $330 million.
One notable US IPO traded this past week: Chinese insurance distributor Yuanbao (Nasdaq: YB) raised $30 million in a Goldman-led deal that priced at the high end. Our IPO Intelligence report said the low float could lead to volatile initial trading, and so it did. The stock opened up +44%, briefly jumped to a +93% gain, and finished the week just +1% above offer.
A jaw-dropping nine SPACs raised a combined $1.8 billion, in the SPAC market’s biggest week for new listings in over three years. While very few de-SPACs trade up post-merger, sponsors can still make money on losers, and retire early if they land on a winner (BULL, OKLO, pending CEP).
No new IPO filings this week, which means any May IPOs will come from the existing pipeline. On that note, adtech MNTN updated its financials. Also, the successor of Arthur Andersen announced it filed confidentially for a US IPO. The accounting company went under after the Enron scandal, though Andersen was posthumously exonerated when the conviction was overturned by the Supreme Court.
Chinese robotaxi developer Pony AI again led the IPO Index's winners, recouping much of its recent decline. The stock gained +48.4% this week after the CTO said it was closer to single-unit profitability. Cold-storage REIT Lineage fell -18.9% after a Q1 sales miss, which it blamed on tariff uncertainty.
Take care,
Bill Smith
CEO and Founder
Renaissance Capital
PPS: This week, IPO Pro got an upgrade with a new AI Screen. This screening tool makes it easy to find all AI IPOs in one place. It allows users to filter both by AI category and by how essential AI is to the business.
|
Biggest price changes through
May 2nd
in the
Renaissance IPO Index
|
||
|---|---|---|
| Top 5 | ||
| Pony AI | PONY | 48.4% |
| Smithfield Foods | SFD | 15.1% |
| Klaviyo | KVYO | 11.0% |
| SailPoint | SAIL | 9.2% |
| OneStream | OS | 9.1% |
| Bottom 5 | ||
| Lineage | LINE | -18.9% |
| Bausch + Lomb | BLCO | -16.2% |
| ServiceTitan | TTAN | -6.0% |
| RDDT | -3.6% | |
| Mobileye Global | MBLY | -3.5% |
| Sectors | ||
| Consumer Staples | 9.6% | |
| Technology | 8.5% | |
| Consumer Discretionary | 5.2% | |
| Financials | 2.3% | |
| Energy | 2.2% | |
| Industrials | 0.9% | |
| Health Care | -4.2% | |
| Real Estate | -18.9% | |
Renaissance IPO ETF (NYSE symbol: IPO) tracks the Renaissance IPO Index
The Renaissance IPO Index returned 3.5% last week vs. 2.9% for the S&P 500.
