What to Expect From the Next IPOs

Getting a venture capital-backed unicorn through this year’s initial public offering window has been like trying to get a camel through the eye of a needle—impossible without a bit of humility.

Though broad market indexes are hovering near all-time highs, and stock valuations drawing dotcom bubble comparisons, IPO valuations have been more modest, and capital markets investors choosier than in the frothy years of 2020 and 2021.

Of the seven tech unicorns that have gone public this year, all but two—Figma (FIG) and Firefly Aerospace (FLY)—listed at valuations lower than their respective highest private market values, according to PitchBook. That has been the case for many billion-dollar-plus startups that have gone public since 2021, according to a recent report from the research firm. Also, 2025’s new listings showed stronger financials than in years past, indicating higher investor standards for companies debuting on major exchanges.

The median valuation for 2025’s IPO cohort was 25% higher than their respective highest private values, PitchBook data show. That’s closer to the modest 3% premiums last year’s cohort fetched than the 100%-plus premiums that IPOs fetched in 2020 and 2021.

IPO Market ‘Remains Highly Selective,” PitchBook Analysts Say

The current IPO market “remains highly selective and focused on strong financials rather than high-loss startups,” PitchBook analysts Kyle Stanford and Emily Zheng wrote.

For example, Chime (CHYM), which accepted an exit valuation 62% lower than its highest valuation mark as a private company, showed revenue rising by about the same amount over the three years leading up to its debut. The average revenue for tech IPOs this year is $831 million, and four have hit the $1 billion mark, per PitchBook. Until this year, the sole company to have $1 billion in sales at IPO since 2022 was Maplebear (CART), which does business as Instacart.

While Figma’s IPO was valued at almost $20 billion, a high-valuation outlier among this year’s group, it was also profitable, unlike many companies that go public. A quarter of 2025’s IPOs had positive net income, compared to 2021’s 12%, PitchBook said.

Though this year’s listings have received warm market receptions, the VC exit environment remains “muted,” with few registrations in the pipeline, according to PitchBook analysts. They expect 2026 to be more active, though that group will have to reckon with “the higher bar to entry.”