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Benzinga
Benzinga
Entertainment
AJ Fabino

7 Hot Upcoming IPOs to Watch For in 2022

There were a record 1,035 IPOs on the U.S. stock market in 2021. Of these, 159 have returned profits to investors.

This means that last year, an investor had a 15.36% chance of investing in an IPO that would generate returns. Of the highest returning IPOs of 2021, some include:

Digital World Acquisition Corp. (NASDAQ: DWAC) +355.60%

  • IPO Price: $10.00
  • Current Price: $45.75

ZIM Integrated Shipping Services Ltd. (NYSE: ZIM) +343.13%

  • IPO Price: $15.00
  • Current Price: $66.14

Huadi International Group Co., Ltd. (NASDAQ: HUDI) +235.75%

  • IPO Price: $8.00
  • Current Price: $27.86

Some of the biggest losers include:

Missfresh Limited (NASDAQ: MF) -97.82%

  • IPO Price: $13.00
  • Current Price: $0.28

Motorsport Games, Inc. (NASDAQ: MSGM) -96.44%

  • IPO Price: $20.00
  • Current Price: $0.72

Landos Biopharma, Inc. (NYSE: LABP) -96.05%

  • IPO Price: $16.00
  • Current Price: $0.64

IPOs have had a sluggish start to 2022, with only 110 so far in the year, possibly due to companies waiting to raise more money from institutional investors, which would help valuations, or companies remaining on the bench amid the recent market downturn.

Still, some well-known firms are set to go public this year; we’ve gathered a list a curious investor could be interested in.

*Note: Valuations are estimates and are generally based on previous rounds of venture capital funding or company projections.

Stripe

  • Valuation: $95 billion
  • IPO ETA: Mid 2022

The San Francisco-based payment processing giant raised $600 million in its last round of funding in early 2021, locking its valuation at $95 billion.

Klarna

  • Valuation: $46 billion
  • IPO ETA: Mid 2022

The Swedish buy-now-pay-later sector leader recently raised $640 million, putting its valuation near $50 billion.

Chime

  • Valuation: $40 billion
  • IPO ETA: Early 2022

Chime said in February that it was pushing its IPO back until the fourth quarter of 2022.

Instacart

  • Valuation: $39 billion
  • IPO ETA: Mid 2022

The company filed for an IPO on May 16, 2022, after slashing its valuation to $24 billion in March to adapt to challenging market conditions.

Databricks

  • Valuation: $38 billion
  • IPO ETA: Mid 2022

The company claims to have more than 5,000 clients in 19 countries and says it’s on track to generate $1 billion-plus in 2022 revenue, up more than 75% year over year.

Discord

  • Valuation: $17 billion
  • IPO ETA: Mid 2022

The company raised an additional $600 million in September 2021, valuing it at $17 billion. Discord hasn't revealed any plans to go public but is reportedly in talks with investment bankers, according to Bloomberg, to go public as early as this year.

Reddit

  • Valuation: $15 billion
  • IPO ETA: Early 2022

Reddit is reportedly considering an IPO in the spring of 2022, with a valuation of up to $15 billion. With tens of thousands of subgroups committed to an unlimited number of hobbies, no platform better encapsulated the 2021 stock rise than Reddit.

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