Top Recent IPOs: New Investment Opportunities
Knowing about recent IPOs is a great way to stay up to date on the IPO market. Initial public offerings can often provide great investment opportunities – but not always. Below is a short list of some of the top IPOs by month.
Recent IPOs: December
Seer (Nasdaq: SEER)
Seer is a biotech company. It focuses on technological solutions in the field of proteomics. Proteomics is the study of the protein makeup of a cell, organ or biological system. Seer believes its technology can help the science community better understand biology, health and disease. According to the company’s prospectus, proteins can be used to track health over time, gauge disease progression and monitor therapeutic response.
Seer saw its first revenue in 2019 at $116,000. For the nine months ended September 30, 2020, Seer recorded $320,000 in revenue, compared with $58,000 for the same time period in 2019. That’s a growth of 452%. However, the company hasn’t made a profit. Instead, the company is seeing increases in net loss. It went from $6.3 million in 2018 to $16 million in 2019. And for first the nine months in 2020, net loss was $19.8 million, compared with $10.9 million for the same period in 2019.
The company filed on November 12, 2020. It had an expected range of $16 to $18. But on December 3, Seer stock was priced at $19. It sold 9.2 million shares for a deal size of $175 million. The IPO gave Seer a market cap of $1.26 billion.
You can look at Seer’s prospectus here.
First Day Return: 197.2%
AbCellera Biologics (Nasdaq: ABCL)
AbCellera is a biotech firm based in Vancouver, Canada. It focuses on antibody therapeutics for common diseases and for pandemics. AbCellera uses an AI-powered platform to search and analyze a database of antibodies to discover which ones can be used for drug treatments. AbCellera partners with drug developers instead of creating its own therapies. That helps to accelerate timelines and cut costs. AbCellera says the company had 94 programs completed, in progress or under contract with 26 partners as of September 30, 2020.
In 2018, AbCellera recorded $8.8 million in revenue. That increased to $11.6 million in 2019, for a growth of 31.8%. For the first nine months ended September 30, 2020, AbCellera’s total revenue was $25.25 million, compared with $8.4 million in the same period the year before. That’s an increase of 200%. On the one hand, AbCellera recorded a profit of $309,000 for 2018. On the other hand, the company recorded $2.2 million in net loss for 2019. But for the first nine months of 2020, AbCellera saw increase in profit. The company went from a loss of $570,000 for the same time period in 2019 to a profit of $1.9 million in 2020.
AbCellera filed on November 20, 2020. The company priced on December 10. AbCellera stock was expected at a price range of $17 to $18 but was priced at $20. The IPO included 24.15 million shares for a deal size of $438 million. This gave AbCellera a market cap of $6.8 billion.
You can look at AbCellera’s prospectus here.
First Day Return: 194.5%
Hydrofarm Holdings Group (Nasdaq: HYFM)
Hydrofarm distributes and manufactures equipment and supplies for controlled environment agriculture (CEA). CEA uses engineering, plant science and computer-managed greenhouse technologies. It helps to enhance growing systems, plant quality and production efficiency. Hydrofarm’s goal is to help farmers and cultivators improve the quality, efficiency, consistency and speed of their projects.
In 2018, Hydrofarm recorded $211.8 million in sales with $24 million in gross profit. In 2019, Hydrofarm had $235.1 million in sales, for a growth of 11%. Gross profit grew 12.5%, to $27.1 million. For the nine months ended September 30, 2020 net sales were $254.8 million, a 40.5% growth from the company’s $181.3 million in sales in 2019. But the company didn’t see profit until 2020. In 2018, net loss was $32.9 million, and it increased in 2019 to $40 million. But for the nine months in 2020, Hydrofarm recorded net profit of $2.1 million.
Hydrofarm filed on November 12, 2020. Stock was priced on December 9 at $20 a share. The offering included 8.6 million shares, for a deal size of $173 million. The IPO gave Hydrofarm a market cap of $711 million.
You can look at Hydofarm’s prospectus here.
First Day Return: 160%
908 Devices (Nasdaq: MASS)
908 Devices develops spectrometry devices for forensic and scientific research. The company’s product is smaller and more accessible than conventional instruments. This means consumers have an accurate tool that can be used virtually anywhere. 908 Devices believes its product will accelerate workflow, reduce costs and give more opportunities to users.
908 Devices’ revenue is made of two parts: product and service (P&S) and license and contract (L&C). The company recorded $22.1 million in total revenue for 2018. It fell to $18 million in 2019 due to a decrease in L&C revenue. But for the nine months ended September 30, 2020, it went back up to $21.2 million in total revenue. Despite the recent revenue increase, 908 Devices has recorded only net losses in its history. In 2018, net loss was $7.5 million, and it grew to $13.4 million in 2019. For the first nine months in 2020, net loss was down to $2.7 million, an improvement from the $12.8 million loss in the same period in 2019.
The company filed on November 25, 2020. Its stock was priced at $20 on December 17. The company offered 6.5 million shares. The deal size was $130 million, giving 908 Devices a market cap of $585 million.
You can look at 908 Devices’ prospectus here.
First Day Return: 145%
Wunong Net Technology (Nasdaq: WNW)
Wunong is an online and mobile commerce food retailer. Its food is put into five categories: green (0.7%), organic (8.9%), products with geographical indications (3.4%), cultural heritage and pollution-free products (87% combined). The mix of products can change depending on quality and safety, market demand and customer preference. Wunong also plans to open franchise restaurants throughout China equipped with its products for dining and shopping. At the time of Wunong’s prospectus, the company had launched its first restaurant in Shenzhen.
In 2018, Wunong’s net revenue was $1.1 million. That increased 600%, to $7.7 million, in 2019. For the six months ended June 30, 2020, the company reported $3 million in revenue, an increase from $2.5 million in the same period the year before. But Wunang has recorded only net losses in its history. In 2018, net loss was $980,000. The loss increased in 2019 to $1.75 million. For the first six months in 2020, net loss was $1.3 million, compared with almost $461,000 for the same period in 2019.
Wunong filed on September 17, 2020. It didn’t price until December 14 at midrange for $5. Just under 6 million shares were offered, for a deal size of $30 million. This gave Wunong a market cap of $125 million.
You can look at Wunong’s prospectus here.
First Day Return: 141%
Recent IPOs: November
Olema Pharmaceuticals (Nasdaq: OLMA)
Olema is a clinical-stage biopharmaceutical company working on therapies for women’s cancers. The company focuses on the estrogen receptor, a key part in breast cancer in about 75% of patients. Olema hopes to develop an oral treatment to block the signal’s path. Its lead product candidate is in an ongoing Phase 1/2 dose increase and expansion trial. Olema expects data in the second half of 2021.
The company has increasing losses from operations. In 2018, Olema’s total operating expenses were $2.1 million. Expenses grew to $4.3 million in 2019, a growth of 105%. And the trend continued into 2020 for the first nine months ended September 30. There was a great increase, from $3.3 million in 2019 to $11.4 million in 2020. That’s a growth of 245%. Olema’s losses from operations are the main driver of the company’s net loss. Olema has no revenue.
Olema Pharmaceuticals filed on October 30, 2020. The company’s stock began trading on November 18, 2020. Olema sold 11 million shares at $19 a share, for a deal size of $209 million. This gives Olema a market cap of $769 million.
You can look at Olema Pharmaceuticals’ prospectus here.
First Day Return: 157.9%
Yatsen (NYSE: YSG)
Yatsen is a Chinese beauty company founded in 2016. It has three product lines: Perfect Diary, Little Ondine and Abby’s Choice. The Perfect Diary line became the top color cosmetics brand in China in terms of online retail sales in 2019. In 2019 and the nine months ended September 2020, Yatsen served 23.4 million and 23.5 million customers, respectively. As of September 2020, the company has more than 200 stores in 90 cities across China.
Yatsen has seen great growth in its gross profit. In 2018, gross profit was $61.4 million. And in 2019, gross profit increased to $293.7 million, a growth of 378.3%. And for the nine months ended September 30 in 2019 and 2020, Yatsen reported gross profit of $184.6 million and $314.3 million, respectively. But Yatsen’s profitability is questionable. In 2018, the company reported a net loss of $6.1 million. On the one hand, in 2019, Yatsen recorded net income of $11.5 million, putting the company on a positive track. On the other hand, Yatsen reported a net loss again in 2020 of $176.3 million.***
Yatsen filed on October 30, 2020. Yatsen stock began trading on November 18, 2020. The company sold almost 59 million shares at $10.50 a share. The deal size was $617 million and gave Yatsen a market cap of $7 billion.
You can look at Yatsen’s prospectus here.
First Day Return: 75.2%
***Financial data calculated from RMB to USD according to the exchange rate on 12/02/20
Vision Marine Technologies (Nasdaq: VMAR)
Vision Marine Technologies is a Canadian manufacturer of electric powerboats and outboard powertrain systems. The company claims its powertrain efficiencies are more than 94%, allowing for more power and greater range. Although electric powertrain technology is the company’s main focus, Vision Marine will continue to sell its fully electric boats. According to Vision’s prospectus, the electric boat market is estimated to reach $12.32 billion in 2027.
Vision Marine provided little financial data in its filings. But the company did list revenue and net income. In 2018, Vision Marine reported almost $1.3 billion in revenue. And in 2019, revenue increased 123%, to $2.9 billion. But the only financial data available from 2020 is for the six months ended February 29, 2020. During this time period, Vision Marine reported $436.2 million in revenue, compared with $1.3 billion during the same time frame in 2019. The company also reported a net loss. In 2018, net loss was $185.8 million. But in 2019, Vision Marine recorded a net profit of $233 million. This didn’t last, however, because the company reported a net loss of $477.8 million for the six months ended February 29, 2020.
Vision Marine filed on July 9, 2020. Stock began trading at $10 a share on November 23, 2020. The offering consisted of 2.4 million shares, for a deal size of $24 million. The IPO gave Vision Marine a market cap of $79 million.
You can look at Vision Marine Technologies’ prospectus here.
First Day Return: 44.4%
Ozon Holdings (Nasdaq: OZON)
Ozon Holdings is a leading Russian e-commerce platform. For the 12 months ended September 30, 2020, Ozon had 11.4 million active buyers and 18,100 sellers. The company connects buyers and sellers but also sells directly to buyers. In 2019, Ozon’s addressable market in Russia was worth $446.9 billion. That’s projected to reach $614.5 billion by 2025.
In 2018, Ozon reported $495 million in revenue. That increased to nearly $800 million in 2019, a growth of 62%. This trend continued into 2020. For the nine months ended September 30, 2019, Ozon reported revenue of $520.8 million. Revenue increased for the same time period in 2020 to $885.8 million, a growth of 70%. However, Ozon isn’t yet profitable. In 2018, its total net loss was $75.3 million. That worsened in 2019, when the company reported a net loss of $257.5 million. And it doesn’t seem like 2020 will be any better. Ozon reported a net loss of $171 million for the nine months ended September 30, 2020, compared with $173.3 million in 2019.***
Ozon Holdings filed on November 2, 2020 and started trading on the Nasdaq on November 23, 2020. Stock began trading at $30 a share, for a deal size of $990 million. The IPO gave Ozon a market cap of $5.4 billion.
You can look at Ozon Holdings’ prospectus here.
First Day Return: 33.9%
*** Financial data calculated from RUB to USD according to the exchange rate on 12/02/20
NeoGames (Nasdaq: NGMS)
NeoGames is a technology company focusing on the lottery industry. NeoGames offers solutions such as technology platforms, multiple value-added services and a game studio. The iLottery industry opened in the U.S. in 2012 with the introduction of online lottery ticket sales in Illinois. Many European markets were ahead of the game and make up most of the iLottery industry. In 2018, iLottery penetrations in the Norwegian and Finnish markets were 49.5% and 42.5%, respectively. In the U.S., Michigan is the only state where iLottery penetration was more than 20%.
NeoGames has increasing revenue. In 2018, revenue was $23.5 million. That increased in 2019 to $33.1 million, a growth of 41%. And for the nine months ended September 30, 2020, NeoGames reported $35.2 million in revenue, compared with $24.1 million the year before. 2020 is also the first year the company generated net income. In 2018, NeoGames reported a net loss of about $6 million. That decreased to $4 million in 2019. But as of September 2020, the company had net income of $4 million, up from its 2019 nine-month net loss of $3.3 million.
The company filed on October 27, 2020. Its stock began trading on November 18, 2020 for $17 a share. The offering consisted of 4.8 million shares, for a deal size of $82 million. The IPO gave NeoGames a market cap of $444 million.
You can look at NeoGames’ prospectus here.
First Day Return: 28.6%
Recent IPOs: October
Eargo (Nasdaq: EAR)
Eargo is a medical device company. Its goal is to create the go-to hearing aid for consumers. The company states that its hearing aid is the first and only virtually invisible, rechargeable, completely in-canal, FDA regulated, exempt Class I hearing loss device. Eargo also provides personalized hearing support from its experts. The company claims its market was worth more than $30 billion in 2019.
In 2017, Eargo reported revenue of $6.6 million. This number grew to $23.2 million in 2018, a growth rate of 250%. And in 2019, revenue was $32.8 million, an increase of 41%. But the company has larger expenses and has yet to make a net profit. In 2017, Eargo reported a net loss of $18.3 million. But in 2018, net loss increased 73%, to $31.6 million. And 2019, Eargo’s net loss was $44 million.
Eargo filed with the SEC on September 25, 2020. Eargo stock began trading on October 15, 2020. Shares sold at $18. The company sold more than 7.8 million shares, for a deal size of $141 million. Eargo has a market cap of $764 million.
You can look at Eargo’s prospectus here.
First Day Return: 87.1%
MediaAlpha (NYSE: MAX)
MediaAlpha is a technology company. It helps insurance carriers and distributors find customers more easily and on a greater scale. The company is the largest online customer acquisition channel in its three markets: property & casualty, health and life.
Investors should know that MediaAlpha is a subsidiary of QL Holdings LLC. MediaAlpha is a holding company formed by QL Holdings for the offering. For MediaAlpha’s financial data, please look at the company’s prospectus linked below.
MediaAlpha filed on October 5, 2020. Stock began trading on October 27, 2020 for $19 a share. The company sold a total of 9.25 million shares for a deal of $176 million. MediaAlpha’s market cap is $1.2 billion.
You can look at MediaAlpha’s prospectus here.
First Day Return: 67.7%
Array Technologies (Nasdaq: ARRY)
Array Technologies manufactures ground-mounting systems for solar energy projects. Its main product is a single-axis tracker. Trackers are used to move panels by tracking the sun, maximizing the panels’ sun exposure. Array sells its products to engineering, procurement and construction firms building solar energy products. It also sells to developers and independent power producers. Usually, Array’s products are sold as a part of a master supply agreement or a multiyear contract.
In 2018, Array’s reported revenue was $290.8 million. That grew to $647.9 million in 2019, a growth rate of 123%. And for the first six months of 2019, Array reported $225.4 million in revenue. Then, Array reported revenue of $552.6 million on June 30, 2020. That’s a growth rate of 145%. But the company’s gross profit grew even more, going from $11.6 million in 2018 to $150.8 million in 2019. That’s a growth rate of 1,200%. And although its growth isn’t as impressive in 2020 so far, the company still saw a large increase in profit. Gross profit for June 2019 was $43.2 million. In 2020, that grew 225% to $140.6 million.
Array filed on September 22, 2020. The company priced its shares on October 14, 2020, and stock began trading at $22 a share. Array offered 47.5 million shares, raising more than $1 billion in the offering. Array’s market cap is now $2.8 billion.
You can look at Array Technologies’ prospectus here.
First Day Return: 65.7%
Praxis Precision Medicines (Nasdaq: PRAX)
Praxis is a clinical-stage biopharmaceutical company. It translates genetic insights into developing therapies for the central nervous system, particular brain imbalances. When the brain’s circuits are dysregulated, it can lead to abnormal function and disease. Praxis has three product candidates in development and has five programs for depression, epilepsy, movement disorders and pain syndromes. The company’s three products should have results by the end of 2021 and a new program will launch as well.
Currently, Praxis hasn’t generated any revenue because none of its products are ready for commercial sale. And the company has increasing expenses. In 2018, Praxis’ operating expenses were $22.7 million. This grew 58%, to $35.8 million in 2019. And for the six months ended June 30, Praxis reported operating expenses of $17.6 million in 2019 and $20 million in 2020. That’s a growth of 14%.
Array filed on September 25, 2020. The company priced on October 15, and Array stock began trading at $19. Array’s deal size consisted of 10 million shares, for a deal size of $190 million. Its market cap is $773 million post-IPO.
You can look at Praxis Precision Medicine’s prospectus here.
First Day Return: 46.3%
Kronos Bio (Nasdaq: KRON)
Kronos is a clinical-stage biopharmaceutical company. Its focus is on discovering and developing cancer therapeutics. The company’s lead product is an oral therapy tested in 148 acute myeloid leukemia patients. Kronos plans to initiate a Phase 2/3 trial in 2021. The company also plans to test another developing treatment in a Phase 1/2 clinical trial for the treatment of advanced solid tumors.
Kronos hasn’t produced revenue yet as none of its products are approved for commercial sale. The company warns investors that the company could never be profitable. In 2018, Kronos reported operating expenses of $6.6 million. This number grew 155%, to $16 million in 2019. And for the six months ended June 30, operating expenses grew 144%. Expenses increased from $6.6 million in 2019 to $15.6 million in 2020.
The company filed with the SEC on September 18, 2020. On October 8, Kronos stock was priced and began trading on the Nasdaq at $19 a share. The company raised $250 million from the sale of almost 13.2 million shares. Kronos’ market cap is $1.1 billion.
You can look at Kronos Bio’s prospectus here.
First Day Return: 42.5%
Recent IPOs: September
Outset Medical (Nasdaq: OM)
Outset is a medical technology company. It focuses on kidney diseases and aims to reduce the cost and complex nature of dialysis. Outset believes its system Tablo will allow dialysis to be delivered anywhere, anytime and by anyone, according to the company’s prospectus. The system requires only an outlet and water to be used. Outset estimates kidney failure will affect 810,000 people in the U.S. in 2020. The company also claims its addressable market is $2.2 billion in the care setting and $8.9 billion in the home setting.
Outset has seen impressive revenue growth since 2018. It went from $1.8 million in 2018 to $13.8 million in 2019 for a year-over-year growth of 686%. And in the first six months of 2020, Outset has already surpassed its 2019 revenue. The company reported $15.6 million on June 30, 2020, compared with $5.1 million for the first six months of 2019. That’s a growth of just over 300%. However, Outset saw a large increase in cost of product revenue as well. Net loss increased from $6.1 million in 2018 to $17.8 million in 2019. And although the company’s loss for 2020 is $8.3 million compared with $9.7 million in 2019, Outset has yet to make a profit.
The company filed to go public on August 21, 2020. Outset stock began trading September 14, 2020, at $27 a share. The deal offered 8.9 million shares to raise $242 million. Outset’s market cap is $1.2 billion.
You can look at Outset Medical’s prospectus here.
First Day Return: 124.7%
Snowflake (NYSE: SNOW)
Snowflake is a data warehousing company. It offers cloud-based data storage and analytics services. Snowflake’s services are available on Amazon S3, Microsoft Azure and Google Cloud Platform. The company’s platform allows customers to discover, exchange and share data securely. In February, the company had a value of $12.4 billion.
Snowflake’s fiscal year ended January 31, so its prospectus provides financial info for the years 2019 and 2020. Company revenue grew from $96.7 million to $264.8 million for a growth rate of 174%. But Snowflake also saw an increase in net loss. It went from $178 million to $348.5 million. Snowflake has yet to see a profit.
The company filed on August 24, 2020, for a highly anticipated IPO. The offer price was $120. But on September 16, 2020, shares started trading for about $250 before coming down. Snowflake offered 28 million shares for a deal size of nearly $3.4 billion. It has a market cap of $42.3 billion.
You can look at Snowflake’s prospectus here.
First Day Return: 111.6%
PMV Pharmaceuticals (Nasdaq: PMVP)
PMV is an early stage biotech company. It focuses on developing targeted therapies for cancer. The company targets p53 mutations, a tumor suppressor protein, and aims to correct it. Mutant p53 proteins are found in about half of all cancers. PMV plans to start a Phase 1/2 clinical trial by the end of 2020.
The company has no revenue reported in its financial data. It has increasing net loss as a result of growing operating expenses. In 2018, net loss was $17.5 million. But this grew 45% to $25.4 million in 2019. And for the six months ended June 30, 2020, net loss was $15.2 million. That’s up 25.5% from the same time period in 2019.
PMV filed on September 4, 2020. It was priced at $18 a share on September 24 and started trading the next day. PMV offered about 11.8 million shares to raise $212 million. This gave the company a market cap of $836 million.
You can look at PMV Pharmaceuticals’ prospectus here.
First Day Return: 108.4%
Laird Superfood (NYSE: LSF)
Laird Superfood is a consumer products platform. It focuses on manufacturing and marketing plant-based and functional foods. The company’s first product was the Original Superfood Creamer in 2015. It’s a plant-based recipe of coconut and sea algae. According to the company, its market is the U.S. natural, organic and functional food and beverages, which had sales of $152 billion in 2019.
Laird’s reported revenue increased since 2018. It went from $8.3 million to $13.1 million in 2019 for a growth of 58%. It also increased for the six months ended June 30, 2020, compared with 2019. It grew 104% from $5.5 million to $11.1 million. But Laird hasn’t reported profit yet. It had net loss of $8.46 million in 2018 and $8.5 million in 2019. And for the first six months of 2020, net loss was $5 million compared with $4 million in 2019.
Laird filed to go public on August 31, 2020. The company priced its shares at $22, offering 2.6 million for a deal of $58 million. Shares started trading on September 23, 2020. The offering gave Laird a market cap of $192 million.
You can look at Laird Superfood’s prospectus here.
First Day Return: 85.5%
COMPASS Pathways (Nasdaq: CMPS)
COMPASS is a mental healthcare company. It’s dedicated to innovating mental health treatments for patients who can’t benefit from existing mental therapies and treatments. The company’s main focus is treatment-resistant depression. COMPASS believes it can use psilocybin, a naturally occurring psychedelic prodrug found in certain species of mushrooms. The company completed a Phase 1 clinical trial in 2019 and is currently conducting a Phase 2b trial. The company plans to report data from the second trial in late 2021.
According to the financial data provided by COMPASS in its prospectus, the company has no revenue to date. It does have increasing research and development expenses, going from $8.9 million in 2018 to $12.6 million in 2019. And for the six months ended June 30, 2020, R&D expenses increased by 146% from $4.9 million in 2019 to $12 million in 2020. As a result of growing expenses, COMPASS’ net loss also increased. For the past six months, net loss increased from $6.3 million to $24.8 million. That’s a year-over-year growth of almost 300%.
COMPASS filed with the SEC on August 28, 2020. The company priced the IPO at $17 on September 17, 2020. It offered 7.5 million shares for a deal of $128 million. The COMPASS IPO gave the company a market cap of $658 million.
You can look at COMPASS Pathways’ prospectus here.
First Day Return: 79.6%
Recent IPOs: August
CureVac (Nasdaq: CVAC)
Dr. Ingmar Hoerr founded CureVac in 2000. It’s a biotech company located in Tübingen, Germany. CureVac uses messenger RNA (mRNA) technology that instructs human cells to produce therapeutic proteins, triggering a response from the immune system. The company uses this technology to create cancer therapies and treatments for rare diseases. CureVac started work on its first mRNA vaccine in 2011.
In 2018, CureVac reported $15.2 million in revenue. In 2019, revenue grew 35.3%, to $20.6 million. However, despite the increase in revenue, CureVac’s net loss also went up. While net loss was reported at $84.3 million in 2018, it increased to $118.2 million in 2019, a growth of 37.1%. This was largely due to a big jump in cost of sales and general and administrative expenses.
However, it’s important to note that the financial data provided does not include information from 2020. CureVac was one of the leading companies in the race for a COVID-19 vaccine, and that will likely have an effect on the company’s 2020 financials.
In March 2020, analysts suspected CureVac would go public in order to fund its vaccine. And on July 24, 2020, the company filed with the SEC. A couple of weeks later, CureVac went public on August 13, 2020. It offered 13.3 million shares at $16 a share. The deal raised $213 million, for a market cap of $2.8 billion.
You can look at CureVac’s prospectus here.
First Day Return: 249.4%
BigCommerce Holdings (Nasdaq: BIGC)
BigCommerce Holdings is a technology company. Founded in 2009, it provides software as a service (SaaS). Its platform lets customers create and use online stores. The company focuses on ease of use, enterprise functionality and flexibility. Originally, BigCommerce marketed to small businesses. But as of June 1, 2020, the company serves almost 60,000 stores in 120 countries. BigCommerce boasts the title of the world’s second-most used SaaS platform.
BigCommerce reported a net loss of $38.9 million in 2018. That rose to $42.6 million in 2019, a growth of 9.5%. This was mainly due to increased sales and marketing spending. However, the company saw a larger increase in revenue during this time. BigCommerce reported $91.9 million in revenue for 2018. That increased by 22% in 2019, to $122.1 million. This means BigCommerce is hopefully on the path to profitability.
After confidentially filing with the SEC, BigCommerce publicly filed on July 13, 2020. It went public on August 4, 2020, offering more than 9 million shares at $24 apiece. The total deal brought in $216 million. BigCommerce’s market cap is $1.8 billion.
You can look at BigCommerce’s prospectus here.
First Day Return: 201.1%
Oak Street Health (NYSE: OSH)
CEO Mike Pykosz co-founded Oak Street Health in 2012. The company builds a primary care delivery platform to address rising costs and poor outcomes. The Oak Street Platform is designed to give value-based care and is focused on Medicare patients. In Oak Street’s prospectus, the company claims its platform led to…
- A 51% reduction in hospital admissions
- A 42% reduction in 30-day readmission rates
- A 51% reduction in emergency department visits.
Oak Street has a network of 54 centers in eight states. As of March 21, 2020, the company has provided care for 85,000 patients and employed 2,300 team members.
In 2018, Oak Street reported $309.6 million in revenue. That increased in 2019 to $539.9 million, a growth of 74.4%. But the company saw a large jump in expenses, including medical claims, sales and marketing costs, and general and administrative costs. Oak Street acknowledges that the company hasn’t turned a profit. In 2018, it had a net loss of $76 million. This number increased by 36.6% in 2019, to a net loss of $103.9 million. If Oak Street can maintain its growth, the company might see a profit in the next few years.
Oak Street Health filed to go public on July 10, 2020. On August 5, 2020, Oak Street stock launched on the NYSE. The company offered 15.6 million shares at an offer price of $21. The total deal was $328 million, giving Oak Street a market cap of $5 billion.
You can look at Oak Street Health’s prospectus here.
First Day Return: 148.2%
KE Holdings (NYSE: BEKE)
Founded in 2001, KE Holdings created Beike. Beike is the leading integrated online and offline platform for housing transactions and services in China. It deals with home sales, rentals, renovations and real estate financial solutions. In 2019, the company had more than 2.2 million transactions on its platform. As of June 30, 2020, the platform has more than 260 real estate brokerages, 42,000 stores and 456,000 agents across 103 cities in China. KE Holdings also owns Lianjia, China’s leading real estate brokerage and a part of the company’s platform.
KE Holdings reported $4.2 million in revenue for 2018. In 2019, revenue increased by 55.5%, to $6.5 million. But although the company’s revenue steadily increased over the last couple of years, KE Holdings saw a huge jump in net loss. It went from about $62,500 in 2018 to almost $308,600 in 2019. That’s a growth of 393.4%. However, the company notes that it recorded net income for the first six months of 2020.
KE Holdings filed on July 24, 2020. It went public a few weeks later, on August 12, 2020. The offer consisted of 106 million shares at a price of $20. The deal size was $2.1 billion. This gave KE Holdings a market cap of $23 billion.
You can look at KE Holdings’ prospectus here.
First Day Return: 87.2%
Kymera Therapeutics (Nasdaq: KYMR)
CEO Nello Mainolfi co-founded Kymera Therapeutics in 2015. It’s a biopharmaceutical company that develops therapies to fight disease-causing proteins. Pegasus, the company’s platform, allows it to discover the body’s natural proteins that fight against disease-causing proteins. Kymera focuses its therapeutics on immunology and inflammation and oncology. The company plans to submit Investigational New Drug Applications in the first half of 2021 for its leading programs.
Kymera didn’t make revenue until 2019. The company reported collaboration revenue of about $3 million. But it still reported a net loss. In 2018, net loss was $21.5 million. Despite the company’s revenue, its net loss increased to $41.2 million in 2019. As a newer company, Kymera notes it has a limited operational history. The company states that it may never be profitable and recognizes this as one of its major risks.
Kymera Therapeutics filed on July 31, 2020. It went public on August 20, 2020. The IPO contained 8.7 million shares. At a price of $20 a share, the company raised about $174 million. This gave Kymera a market cap of $938 million.
You can look at Kymera Therapeutic’s prospectus here.
First Day Return: 66.3%
Recent IPOs: July
Berkeley Lights (Nasdaq: BLI)
Berkeley Lights is a biotech company. It develops and commercializes biotherapeutics. The company’s Beacon platform automates the cloning, culturing and sorting of cells from samples. This reduces both time and labor. Berkeley Lights’ platform is used by Pfizer (NYSE: PFE), Novartis (NYSE: NVS) and Teva Pharmaceuticals (NYSE: TEVA).
In 2019, total revenue was $56.7 million. That was an 81% increase from 2018, when revenue totaled $31.3 million. However, total operating expenses also increased, from $44.3 million in 2018 to $60 million in 2019. That’s a 35.5% increase. But net loss decreased from $23.3 million in 2018 to $18.3 million in 2019.
Berkeley Lights filed to go public on June 26, 2020. And Berkeley Lights stock launched on the Nasdaq on July 16, 2020. The original price range was $19 to $20. But stock started trading at $22 a share. The company offered 8.1 million shares. The offering gave Berkeley Lights a market cap of $1.5 billion.
You can look at Berkeley Lights’ prospectus here.
First Day Return: 197.5%
NCino (Nasdaq: NCNO)
NCino is a cloud-based software company. It works with financial firms, such as banks and credit unions. The company’s Bank Operating System digitizes and streamlines work. It also uses data analytics, artificial intelligence and machine learning to improve the platform.
In 2019, total revenue was $91.5 million. That was an increase of 57.4% from $58.1 million in 2018. Unfortunately, nCino’s net loss also increased. In 2018, reported net loss was $18.6 million. In 2019, that number increased by 20%, to $22.3 million.
NCino filed to IPO on June 22, 2020. It went public a few weeks later, on July 13, 2020. The company offered 8.06 million shares. The original price range was $28 to $29, but shares started trading at $31. This gave nCino a market cap of $3.04 billion.
You can look at nCino’s prospectus here.
First Day Return: 195.5%
Lemonade (NYSE: LMND)
Lemonade is an American property- and casualty-insurance company. It offers both renters and home insurance policies in the U.S. It also provides content and liability policies in Germany and the Netherlands. Lemonade is a vertically integrated company. Its goal is to digitize the industry.
In 2019, Lemonade’s total revenue was $67.3 million. That was almost three times 2018’s revenue of $22.5 million. However, with this big growth in revenue also came higher expenses. Total expenses in 2018 were $75.1 million. But in 2019, expenses increased to $175.2 million. This led to a greater net loss of $108.5 million in 2019, compared with a net loss of $52.9 million in 2018.
Lemonade filed with the SEC on June 8, 2020. Almost a month later, Lemonade stock started trading on July 1, 2020. The offer was for 11 million shares. The original price range was $26 to $28. However, stock began trading at $29 a share. The offering gave Lemonade a market cap of $1.6 billion.
You can look at Lemonade’s prospectus here.
First Day Return: 139.3%
ALX Oncology (Nasdaq: ALXO)
ALX is a clinical-stage immuno-oncology company. It helps patients by developing therapies to prevent cancer cells from using a protein to evade the immune system. The therapies use strategies to help leverage the body’s immune system. ALX hopes to advance its lead treatment, ALX148, into clinical development. It’s also working on a tumor-indicating treatment.
In 2018, ALX’s revenue was $2.1 million. That more than doubled in 2019, for a total of $4.8 million in revenue. Additionally, ALX’s net loss increased. In 2018, net loss totaled $13.7 million. But in 2019, that number increased by 40%, to $19.25 million. If ALX’s revenue can outpace its growing expenses, the company can become profitable.
ALX filed to go public on June 26, 2020, and priced a couple of weeks later, on July 16, 2020. The offering consisted of 8.5 million shares. The original price range was $15 to $17. However, ALX stock began trading at $19 per share. ALX’s market cap was $730 million.
You can look at ALX Oncology’s prospectus here.
First Day Return: 57.9%
AlloVir (Nasdaq: ALVR)
AlloVir is a clinical-stage cell therapy company. It develops T-cell therapies to treat and prevent viral diseases. AlloVir’s therapy aims to restore immunity in patients with T-cell deficiencies. Many patients with a viral disease have few if any therapy options. The company will enter its primary candidate into treatment trials in the fourth quarter of 2020.
AlloVir’s financials are unique. In 2018, the company’s revenue was $1.1 million. Then in 2019, it decreased to $165,000. However, AlloVir’s CEO explains why in the company’s prospectus:
All of our revenue has been derived from our grant agreement with the Cancer Research and Prevention Institute of Texas, or CPRIT. In November 2019, we provided CPRIT with written notice of our intent to terminate the grant, and received acknowledgement in January 2020… To date, we have not generated any revenue from product sales. If our development efforts for our product candidates and preclinical programs are successful and result in regulatory approval, we many generate revenue in the future from product sales.
As a result, AlloVir’s net loss also increased from $2.4 million in 2018 to $23.8 million in 2019.
The company filed on July 6, 2020. It went public in the same month, pricing stock on July 29, 2020. The offering consisted of 16.25 million shares, with an original price range of $16 to $18. Shares started trading at $17, the midpoint of its range. The offering gave AlloVir a market cap of $1.1 billion.
You can look at AlloVir’s prospectus here.
First Day Return: 49.4%
Recent IPOs: June
Agora (Nasdaq: API)
Agora is a China-based video, voice and live interactive streaming platform. The company’s goal is to help developers use real-time engagement to create innovative products, improve user experiences and build applications leading to the future of technology.
Agora has seen steady growth. Its 2018 sales were $44 million. And in 2019, sales were $64 million, a 48% year-over-year growth. Gross profit also increased from $31 million to $44 million, a 42% year-over-year growth.
The company filed to go public on the U.S. markets on June 5, 2020. Pricing took place on June 25, and trading began on June 26. The price range was $16 to $18. However, shares started trading at $20. Agora raised $350 million for a market cap of nearly $5 billion.
You can look at Agora’s prospectus here.
First Day Return: 152.5%
Vroom (Nasdaq: VRM)
Vroom is an online car resale service. Founded in 2013, the company is headquartered in New York City. Vroom handles the process between buyer and seller, eliminating the need for a peer-to-peer model like Craigslist. The company delivers nationwide and also offers financing through multiple banks.
In the fiscal year ended December 31, 2019, Vroom reported sales of just under $1.2 billion. This is a 39% year-over-year increase from 2018, when sales were $855 million. However, gross profit went down from $61 million in 2018 to $58 million in 2019.
Vroom confidentially filed to go public on May 18, 2020. A couple of weeks later, on June 8, the company priced its recent IPO. Originally, the price range was $18 to $20. But shares started trading at $22 a share, for a deal worth $468 million. This gave Vroom a market cap of $6.8 billion.
You can look at Vroom’s prospectus here.
First Day Return: 117.7%
Forma Therapeutics (Nasdaq: FMTX)
Forma Therapeutics is a biopharmaceutical company. It develops and commercializes novel therapeutics to help patients with rare hematologic diseases and cancers. The company focuses on sickle cell disease and prostate cancer.
Forma has negative growth for sales. In 2018, it reported $164 million in sales. But in 2019, that number decreased to $101 million, a 39% fall in growth rate. In its prospectus, Forma stated that the company is not profitable and likely won’t be for the foreseeable future. Company sales depend on the commercialization of its products, which are required to undergo multiple tests and approvals.
The biotech company filed to go public on May 29, 2020, and quickly priced its recent IPO a couple of weeks later. Shares were priced at a range of $16 to $18 but started trading at $20 on June 19, 2020. Forma raised $278 million for a market cap of $1.9 billion.
You can look at Forma Therapeutics’ prospectus here.
First Day Return: 95%
ZoomInfo (Nasdaq: ZI)
ZoomInfo is an American business-to-business software as a service company. It sells access to an intelligence platform. This is a database of information about companies and businesspeople for sales, marketing and recruiting professionals. The goal is to help clients find new potential customers.
In the fiscal year ended December 31, 2018, ZoomInfo reported sales of $144 million. But for 2019, the company reported a 103% year-over-year growth, with $293 million in sales. Gross profit also saw a large increase. In 2018, gross profit was $107 million. In 2019, that number increased by 103%, to $225 million. However, the company has debt. Before the IPO, ZoomInfo had $1.2 billion in debt. After using IPO proceeds, that debt is now $842 million.
ZoomInfo filed for an IPO on February 27, 2020. It wasn’t until June 3 that the company priced its recent IPO with a range of $19 to $20. Shares opened at $21, for a market cap of $19.3 billion.
You can look at ZoomInfo’s prospectus here.
First Day Return: 61.9%
Pliant Therapeutics (Nasdaq: PLRX)
Pliant Therapeutics is a biotech company. It’s focused on developing novel therapies to treat fibrosis. The company hopes to target a number of organs affected by fibrosis. These include the lungs, liver, kidneys, skin and muscle. Pliant hopes to start a Phase 2a trial in the second half of 2020 for its primary product. Its second product is currently in a Phase 1 trial. Pliant expects to give data by the end of 2020.
Founded in 2016, Pliant didn’t record sales until 2019. In 2019, sales were $57 million. And in the last 12 months to date, sales were $86 million. So Pliant is a profitable startup capable of growth.
Pliant filed with the SEC on May 11, 2020. It was priced on June 2 at a range of $14 to $16. Shares started trading at $16 on June 3, raising $144 million. The company’s recent IPO gave Pliant a market cap of $1.1 billion.
You can look at Pliant Therapeutics’ prospectus here.
First Day Return: 33.1%
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