197 companies had their IPO (initial public offering) in 2018, raising a total of $47.2 billion. These numbers were similar to the 189 IPOs in 2017 but showed a significant increase from the 111 IPOs in 2016. Although 2018 was a strong year for IPOs, it did not match the peaks in 2014 and 2013, with 273 IPOs and 222 IPOs, respectively.

IPOs give important insight into the market as the revenue and growth from companies going public can show where the market might be more successful and what industries are the focus of public attention. Companies have the opportunity to raise capital and expand their business, while investors have the opportunity to invest in promising companies. In 2018, tech companies, consumer brands and financial firms were especially popular, while the numbers from IPOs as a whole reflected a continuing interest and excitement around new, innovative companies going public.

The Biggest IPOs of 2018:

• Spotify Technology S.A. (SPOT) - $26.54 billion
• SoftBank Group Corp. (SFTBY) - $23.5 billion
• China Tower Corp. Ltd. (CHWRF) - $7.5 billion
• Xiaomi Corp. (XIACY) - $4.7 billion
• Meituan-Dianping (MPNGY) - $4.2 billion
• AXA Equitable Holdings, Inc. (EQH) - $2.7 billion
• PagSeguro Digital Ltd. (PAGS) - $2.27 billion
• iQiyi, Inc. (IQ) - $2.25 billion
• Pinduoduo Inc. (PDD) - $1.6 billion
• Elanco Animal Health Inc. (ELAN) - $1.5 billion
  

The Biggest U.S. VC-backed IPOs of 2018:

• PagSeguro Digital Ltd. (PAGS) - $2.6 billion
• StoneCo Ltd. (STNE) - $1.4 billion
• Domo Inc. (DOMO) - $690 million
• DocuSign Inc. (DOCU) - $629 million
• Dropbox Inc. (DBX) - $756 million
• Zuora Inc. (ZUO) - $154 million
• Pivotal Software Inc. (PVTL) - $555 million
• Bloom Energy Corp. (BE) - $270 million
• Carbon Black Inc. (CBLK) - $152 million
• Eventbrite Inc. (EB) - $230 million

2018 Notables

Spotify Technology, the biggest IPO of 2018, opted for a direct listing instead of the traditional IPO process. This stock has been volatile since and, as of mid-2022, the company has been trading below its 2018 IPO price. Biopharmaceutical company Moderna, on the other hand, has become more popular since its IPO, as it became a household name for developing a vaccine during the COVID-19 pandemic. Other notable companies that went public in 2018—with varying degrees of success—include Dropbox, DocuSign, Eventbrite and BJ’s Wholesale Club. SoftBank, another company that went public in 2018, became one of the largest IPOs in global financial history.

By the end of 2018, the largest IPOs by capital raised were, as listed below, some of the best performers of that year, suggesting ongoing successful performance from these companies, including:

• Moderna
• AXA Equitable Holdings, Inc.
• PagSeguro Digital Ltd.
• iQiyi, Inc.
• Pinduoduo Inc.
• Elanco Animal Health Inc.
• BJ’s Wholesale Club

A Summary of the 2018 IPOs

2018 saw various notable companies go public, providing opportunities to raise capital and grow for both the companies themselves and investors. Many of the companies that strove to raise money and drive growth by going public in 2018 continue to be successful.

Why Might There Be Discrepancies in IPO Reporting?

When looking up companies that had their IPO in 2018 or any other year, analysts and investors often encounter varying figures across different sources. These discrepancies stem from several methodological differences in how IPOs are counted and classified:

• Definition Variations: Different reporting entities may use different definitions of what constitutes an IPO. Some sources include only offerings above certain minimum sizes (often $50 million or $100 million in raised capital), while others might include smaller offerings. Some reports exclude certain types of listings, such as direct listings (like Spotify's), special purpose acquisition companies (SPACs), or specific listing mechanisms.
• Geographic Classification Challenges: For multinational companies that had their IPO in 2018, geographic classification can vary between sources. A company headquartered in one country but listing on a US exchange might be counted differently across reports. This particularly affects cross-border IPOs, which represented a significant portion of 2018's market activity.
• Timing Considerations: The precise timing of when an offering is counted can create disparities in reporting for a specific year. Some offerings announced in late 2018 might have been completed in early 2019, leading to differences in annual totals. Additionally, some reports may use announcement dates while others use first trading dates, creating further discrepancies.
• Exchange-Specific Reporting: The NYSE and Nasdaq sometimes report figures specific to their exchanges, potentially leading to confusion when comparing these figures to market-wide data for companies that had their IPO in 2018.

Why Invest Now?

Our team at Totus is here to educate you about how you can respond to inconsistent markets and fluctuating stocks. We start by reviewing any current investments and making recommendations based on academic market research like the success of specific IPOs. We’ll help you construct a personalized portfolio designed to address your specific goals.