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In this article, we discuss the 15 largest IPOs of all time. If you want to read about some more popular IPOs, go directly to 5 Largest IPOs of All Time Worldwide.
As of September 28, 2022, there have been a total of 992 IPOs year-to-date, raising $146 billion, a 44% and 57% decrease year-over-year, respectively. IPO companies and investors faced heightening macroeconomic challenges, market uncertainties, growing volatility, and declining global equity prices. Volatility (CBOE VIX average) rose from 19.7 in 2021 to 25.6 year-to-date in 2022. The technology sector led IPOs in terms of the number of IPOs, although the average deal size dropped from $261 million to $123 million year-over-year. Q3 2022 had the least SPAC IPO proceeds since Q3 2016, and SPACs struggled to find proper targets.
Similarly, as of October 2022, NASDAQ has halted the initial public offering (IPO) preparations of at least four small Chinese firms as it probes the limited rallies of such firms after their market debuts, as per lawyers and bankers who are part of these IPOs. NASDAQ took this action as Chinese companies that raise nearly $50 million or less in their IPOs gain about 2,000% during their market debut, only to plummet in the following days. This crushes investors who are daring enough to bet on penny stocks.
As per an EY report dated September 30, U.S. initial public offerings (IPOs) dropped 74% during the first nine months of 2022 compared to the same period in 2021, bludgeoned by market volatility, high inflation, rising interest rates, and threats posed by COVID-19 and Russia’s invasion of Ukraine. Rachel Gerring, the IPO leader in EY Americas, noted that the market needs more stability. 2021 was a record year for IPOs, and she said that those firms “have severely underperformed in the aftermarket, significantly impacting companies’ desires to go public as they navigate ongoing market volatility.”
There were 83 IPOs in the United States during the first three quarters of 2022, generating $7.27 billion, representing the least rate of proceeds since 2003, EY said. More than 53% of the IPOs in the first three quarters of 2022 decided to list on Chinese exchanges, including Hong Kong. This year’s quarterly growth demonstrates how China’s IPO market has shown meaningful strength in recent years, drawing upon a robust pipeline of industrial, technology, and consumer non-cyclical companies.
Nearly 75% of large US companies that went public during the pandemic are now trading under their IPO price, pushing some rising start-ups back to private buyers at low valuations. Of more than 400 IPO listings where companies raised at least $100 million between 2019 and 2021, 76% are now trading below their IPO prices, as per Financial Times data. The group’s median return since their IPO dates is negative 44%. The IPO firms which sank this year include overhyped names like Robinhood Markets, Inc. (NASDAQ:HOOD), Lyft, Inc. (NASDAQ:LYFT), and DoorDash, Inc. (NYSE:DASH), all of whom were publicly listed during a pandemic-driven market surge that concluded in late 2021.
Although the global IPO market has faced large declines in 2022, some of the largest IPOs of all time are still thriving. These companies have carved out strategic market positions for themselves over the years. With this outlook in mind, let’s dive into 15 largest IPOs of all time worldwide.
Image by Sergei Tokmakov Terms.Law from PixabayOur Methodology
We selected the largest IPOs in the world based on the capital raised and the buzz around the firms at the time of their IPOs. We have mentioned the details of the initial public offerings with each company for additional context.
Largest IPOs of All Time Worldwide
15. Mobileye Global Inc. Class A Common Stock (NASDAQ:MBLY)
Market Capitalization as of October 28: $21.818 billion
Amount Raised at IPO: $16.7 billion
Intel Corporation (NASDAQ:INTC) announced on December 6, 2021 that it is separating its Mobileye division via an IPO. On October 25, 2022, Mobileye Global Inc. Class A Common Stock (NASDAQ:MBLY) disclosed an initial public offering of 41 million units of its Class A common stock at an IPO price of $21.00 per share, which is higher than the priorly announced per share price of $18-$20. The stock started trading on NASDAQ on October 26.
The market cap of Mobileye Global Inc. Class A Common Stock (NASDAQ:MBLY) came in at nearly $22 billion on October 28. Mobileye was previously publicly traded before Intel acquired the Israeli company in 2017 for $15.3 billion. It is one of the most notable IPOs of 2022, and the stock price has climbed almost 37% to $27 as of October 28. Mobileye develops autonomous driving technologies and complex driver-assistance systems.
Mobileye Global Inc. Class A Common Stock (NASDAQ:MBLY) has made huge headlines with its IPO, just like Robinhood Markets, Inc. (NASDAQ:HOOD), Lyft, Inc. (NASDAQ:LYFT), and DoorDash, Inc. (NYSE:DASH).
14. Alibaba Group Holding Limited (NYSE:BABA)
Market Capitalization as of October 28: $178.715 billion
Amount Raised at IPO: $25 billion
In 2014, Alibaba Group Holding Limited (NYSE:BABA) was considered to be one of the largest global IPOs, raising $25 billion at $68 per share. The stock surged 38% on the first day of trading. Alibaba is one of the largest Chinese tech giants, and it is dually listed in the US and Hong Kong.
Here is what Artisan Partners specifically said about Alibaba Group Holding Limited (NYSE:BABA) in its Q3 2022 investor letter:
“Alibaba Group Holding Limited (NYSE:BABA) declined 30% during the quarter primarily due to the continued impact of China’s zero-COVID policy. In August, more than 70 Chinese cities with 300 million combined population were in some state of lockdown. Unfortunately, this comes on top of the other regulatory and competitive challenges that had previously been pressuring Alibaba’s shares over the past year. The painful decline in the share price has made Alibaba a poor investment so far—for good reason. In the second quarter, core online e-commerce revenues were down 10%, and adjusted profits declined 18%. That said, Alibaba shares are priced for this terrible environment to continue forever, and many of the exogenous issues should eventually abate. Signs suggest the regulatory pressure is already easing. The government has been stepping in with economic stimulus. The zero-COVID policy must eventually end. In addition, Alibaba’s management has taken important steps to improve profitability by reducing investments in loss-making new business ventures. When the environment improves, we believe that Alibaba’s core business franchises will return to growth, and profits will follow. The disconnect between Alibaba’s price and value continues to be one of the biggest we have seen in our careers.”
13. SoftBank Group Corp
Market Capitalization as of October 28: $63.7 billion
Amount Raised at IPO: $23.5 billion
Japan’s SoftBank Corp started trading publicly in December 2018, and it was one of the largest IPOs the world had seen. SoftBank Corp is the telecoms division of Japanese billionaire CEO Masayoshi Son’s SoftBank Group. SoftBank Corp raised 2.65 trillion yen, or $23.5 billion, after pricing the IPO units at 1,500 yen per share. The market capitalization as of October 28 stood at nearly $64 billion.
12. Visa Inc. (NYSE:V)
Market Capitalization as of October 28: $430.523 billion
Amount Raised at IPO: $17.9 billion
Visa Inc. (NYSE:V), the American multinational payments technology firm, had its IPO in March 2008. The company raised $17.9 billion as investors jumped on its growth potential coming out of the US mortgage crisis. Visa sold 406 million class A common stock for $44 per share, above the forecast $37-$42. Visa Inc. (NYSE:V) is partnering with blockchain firms to offer crypto debit cards, a new offering in addition to its card products, payment platforms, and value-added services.
Here is what RiverPark Large Growth Fund has to say about Visa Inc. (NYSE:V) in its Q3 2022 investor letter:
“We reinitiated a small position in Visa, which we had previously owned for years (selling out of the position at higher levels in February). We continue to believe that the long-term secular growth trend towards digital payments remains intact and has been further enhanced by the COVID crisis. The growth in debit cards, contactless payments, e-commerce, and now, buy-now-pay-later (BNPL), are all driving digital payment penetration, and we continue to be impressed with the long-term growth potential of V (and our other payment holdings Mastercard, Adyen, and PayPal).”
11. Airbnb, Inc. (NASDAQ:ABNB)
Market Capitalization as of October 28: $73.223 billion
Amount Raised at IPO: $3.5 billion
Airbnb, Inc. (NASDAQ:ABNB), the California-based travel technology firm, had a massive initial public offering in 2020. The company opened at $146 per share on the NASDAQ, far ahead of the IPO price of $68 per share. Airbnb, Inc. (NASDAQ:ABNB) amassed a market cap of about $86.5 billion, more than double the IPO valuation it sought a day earlier. Airbnb, Inc. (NASDAQ:ABNB) is one of the best IPO stocks of all time.
Here is what Polen Capital specifically said about Airbnb, Inc. (NASDAQ:ABNB) in its Q2 2022 investor letter:
“Airbnb, Inc. (NASDAQ:ABNB) was one of our largest detractors from performance in the second quarter. Airbnb is the clear market leader in private rental bookings globally, according to market research firm Euromonitor. The business is currently firing on all cylinders, with revenue and earnings growth well above our expectations and long-term estimates. It would be easy to say that it is because as the world reopens, people are traveling for the first time in two years, providing a short-term benefit to the company. But, Airbnb also grew quickly in 2021 when people were still hesitant to travel and preferred staying close to home. The company’s growth in 2022 is not an easy comparison like it is for online travel agencies (which are more hotel-oriented), airlines, and hotels. In fact, Airbnb’s business has outpaced the hotel industry growth by more than 1,250 basis points per year since 2019, showing far more resilience than hotels and online travel agencies.
Airbnb didn’t invent the private rental market, but it developed a better offering and helped it scale with robust network effects and a system of trust protecting travelers and hosts alike. It has diligently removed friction from the marketplace to catalyze demand.
The business model has very high incremental profit margins. When the company went public only a year and a half ago, it had pretax profit margins on a non-GAAP basis of approximately 5% by our calculations. This year, those margins should approach 30%. In addition, the company has generated approximately $3 billion in free cash flow over the last 12 months. The runway for growth in private rental is very long, especially considering that hybrid work will likely remain for the long-term, allowing for more business/leisure trips that work better in Airbnbs than hotels, in our view…” (Click here to read full text)
10. Meta Platforms, Inc. (NASDAQ:META)
Market Capitalization as of October 28: $266.215 billion
Amount Raised at IPO: $16 billion
Meta Platforms, Inc. (NASDAQ:META) debuted on the NASDAQ on May 18, 2012. The initial public offering of 421.23 million shares was priced at $38 each, and the trade opened at $42.05 per share, a gain of approximately 11%. Meta Platforms, Inc. (NASDAQ:META) was thus worth over $100 billion and managed to raise $16 billion by selling its initial shares. It was one of the largest tech IPOs in the world. Meta is valued at more than $266 billion as of October 28, and it is one of the biggest companies in the world by market cap.
Here is what Giverny Capital specifically said about Meta Platforms, Inc. (NASDAQ:META) in its Q3 2022 investor letter:
“Our worst performers for the year-to-date have been painful. Meta Platforms, Inc. (NASDAQ:META) is down roughly 60%, and Carmax, Eurofins Scientific, Coherent and Ciena have lost about half their value. I’m wearing a dunce cap for Meta, as the changes Apple made to privacy tracking severely impacted Meta’s effectiveness at targeting ads to the right consumers. However, despite being compared recently to AOL by one analyst, Meta continues to capture enormous amounts of consumer attention: roughly 2.9 billion people use one of its sites every day. I believe it has a very long runway on monetizing those eyeballs, especially outside North America. For all its problems with ad tracking, and despite heavy investment in the so called metaverse, Meta should earn about $10 per share in 2022 and more next year. The stock, at $136 on September 30, reflects pessimism that Meta will ever recover. We’re holding because we think that Meta has the resources to improve its advertising efficiency, and that it eventually will.”
9. General Motors Company (NYSE:GM)
Market Capitalization as of October 28: $56.55 billion
Amount Raised at IPO: $15.77 billion
General Motors Company (NYSE:GM), the American automaker manufacturing trucks, crossovers, and electric cars, had one of the largest IPOs of all time in November 2010. The company sold 478 million common shares priced at $33 each, raising $15.77 billion, as well as $4.35 billion in preferred stock, higher than the initially planned $4 billion. As of October 28, 2022, General Motors Company (NYSE:GM) has a market cap of more than $56.5 billion.
Here is what Diamond Hill Capital specifically said about General Motors Company (NYSE:GM) in its Q2 2022 investor letter:
“Auto manufacturer General Motors Company (NYSE:GM) was also among our bottom contributors in Q2. Rising interest rates and continued supply chain issues have increased uncertainty surrounding the auto industry, exerting downward pressure on stocks of auto makers. We continue to like GM’s focus on its most profitable market segments (SUV, crossovers, trucks) and believe the company’s heavy investments in autonomous capabilities will position it favorably as the secular movement towards autonomous vehicles continues.”
8. Rivian Automotive, Inc. (NASDAQ:RIVN)
Market Capitalization as of October 28: $30.477 billion
Amount Raised at IPO: $12 billion
Rivian Automotive, Inc. (NASDAQ:RIVN) is a California-based company that designs, develops, manufactures, and sells electric vehicles and related accessories. The IPO was priced at $78 a share, valuing Rivian at $66.5 billion. The Amazon-backed electric vehicle maker had a market valuation exceeding $100 billion a day after its IPO on November 9, 2021. Rivian Automotive, Inc. (NASDAQ:RIVN) was one of the largest IPOs of 2021.
Here is what Baron Fifth Avenue Growth Fund has to say about Rivian Automotive, Inc. (NASDAQ:RIVN) in its Q2 2022 investor letter:
“Rivian Automotive, Inc. designs, manufactures, and sells consumer and commercial electric vehicles. Shares of Rivian declined 48.2% in the second quarter as investors continued rotating out of long-duration assets and have become increasingly concerned about capital intensity and cash burn.
At the same time, Rivian continues to be impacted by supply chain issues which are causing delays in its production ramp. Rivian is addressing those challenges by diversifying its supply chain to alleviate shortages while also consolidating the number of variants in development to reduce cash burn (the company guided that current cash will be enough to support the company’s future platform launch ‘R2’ in 2025). Rivian recently reported stronger-than-expected second quarter production numbers while reiterating its annual guidance of producing 25,000 units.
As semiconductor shortages ease, we believe that the company will be able to rapidly ramp its production. We retain conviction in the shares given management’s vision, Rivian’s product positioning, the company’s relationship with Amazon.com, and its strong balance sheet. As of the end of the first quarter, Rivian had $17 billion of cash and cash equivalents, which will help it overcome the current challenges while taking advantage of the long-term opportunity as the market transitions to electric vehicles.”
7. Uber Technologies, Inc. (NYSE:UBER)
Market Capitalization as of October 28: $54.576 billion
Amount Raised at IPO: $8.1 billion
Uber Technologies, Inc. (NYSE:UBER), the American firm providing technology-led ride sharing services, features as one of the largest IPOs of all time worldwide. Uber listed publicly on the New York Stock Exchange on May 10, 2019, with an IPO price of $45 per share. Bankers floated a valuation of about $120 billion for Uber Technologies, Inc. (NYSE:UBER), however, the mobility firm did not touch that figure. As of October 28, 2022, Uber is valued at nearly $55 billion.
Here is what RiverPark Large Growth Fund has to say about Uber Technologies, Inc. (NYSE:UBER) in its Q3 2022 investor letter:
“Uber was our top contributor for the quarter on better-than-expected 2Q results, and 3Q EBITDA guidance that was well ahead of Street estimates. The company reported 33% Gross Bookings growth from both the continued recovery of Mobility Gross Bookings, up 55% year over year, and the continuation of Delivery Gross Bookings growth, up 7% year over year. Overall, revenue grew 105% year over year to $8 billion, generating $364 million of adjusted EBITDA, up $873 million year over year. Management guided to 25%-30% gross bookings growth and adjusted EBITDA of $440-$470 million for 3Q. Significantly, FCF was positive at $382 million, up $780 million year over year, and remains on track to be positive for the year allowing the company to self-fund future growth.
UBER remains the undisputed global leader in ride sharing, with greater than 50% share in every major region in which it operates. The company is also a leader in food delivery, where it is number one or two in the more than 25 countries in which it operates. Moreover, after a history of losses, the company is now solidly profitable with the expectation of substantial margin expansion and free cash flow generation to come. We view UBER as more than just ride sharing and food delivery, but also as a global mobility platform with the ability to sell to its more than 120 million users (by comparison, Amazon Prime has 200 million members) and penetrate new markets of on-demand services, such as grocery delivery, truck brokerage (the company had $1.8 billion in Freight revenue for 2Q22), and worker staffing for shift work. Given its $10 billion of cash and investments against $9 billion of debt, the company today has an enterprise value of $57 billion indicating that UBER trades at only 1.5x next year’s estimated revenue.”
6. United Parcel Service, Inc. (NYSE:UPS)
Market Capitalization as of October 28: $144.634 billion
Amount Raised at IPO: $5.5 billion
United Parcel Service, Inc. (NYSE:UPS) is an American company that provides letter and package delivery, transportation, logistics, and related services. On November 10, 1999, United Parcel Service, Inc. (NYSE:UPS) offered 109,400,000 shares on the NYSE. The IPO stock price was $50 per share. The stock closed its first day with a 35% gain. It was one of the largest IPOs of all time worldwide. The current market cap, as of October 28, stands at nearly $145 billion.
Although IPO firms like Robinhood Markets, Inc. (NASDAQ:HOOD), Lyft, Inc. (NASDAQ:LYFT), and DoorDash, Inc. (NYSE:DASH) failed to dazzle the market, United Parcel Service, Inc. (NYSE:UPS) is one of the most successful IPOs of all time.
Here is what ClearBridge Large Cap Growth ESG Strategy has to say about United Parcel Service, Inc. (NYSE:UPS) in its Q2 2022 investor letter:
“UPS has been a beneficiary of the pandemic-related shift to e-commerce. Revenues increased 15% in the year, with strong leverage in the business boosting operating profit by al- most 67%. Management is focusing on a ‘Better not Bigger’ strategy for the business and divested the UPS Freight business early in the year. Mean- while, the company is expected to increase distributions to shareholders in 2022, from both dividends and share buybacks.”
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Disclosure: None. 10 Largest IPOs of All Time Worldwide is originally published on Insider Monkey.
