In this article we discuss the 5 most anticipated IPOs in 2021 and 2022. If you want to read our detailed analysis of these IPOs, go directly to the 10 Most Anticipated IPOs in 2021 and 2022.
5. Rivian
Rivian is a Michigan-based electric vehicle maker founded in 2009. It is ranked fifth on our list of 10 most anticipated IPOs in 2021 and 2022. The company is seeking to make a brand name for itself in the electric SUV and pickup truck market. It is developing semiautonomous all electric vehicles in these categories that would be more resistant to wear and tear than other electric vehicles and could be used for off-road driving as well. The firm is planning for an IPO in 2021 or 2022 and targeting an valuation of over $70 billion.
This would make Rivian one of the largest publicly traded electric vehicle companies in the US, behind traditional automakers who are investing in electric cars. It would also place Riviain as a rival to California-based EV firm Tesla, Inc. (NASDAQ: TSLA), owned by billionaire Elon Musk. Tesla, Inc. (NASDAQ: TSLA) stock has been sliding in recent weeks amid decreased demand for new vehicles in the Chinese market and pressure from competitors like Ford, which debuted an all-electric truck last month which is set to rival Rivian products as well.
However, Tesla, Inc. (TSLA) stock has still managed to return more than 192% to investors in the past twelve months. On June 8, the stock rallied amid media reports that delivery numbers for the month were going to be better than expected, and investment advisory Wedbush maintained an Outperform rating on the stock. Out of the hedge funds being tracked by Insider Monkey, Chicago-based investment firm Citadel Investment Group is a leading shareholder in Tesla, Inc. (NASDAQ: TSLA) with 24 million shares worth more than $16 billion.
4. Couchbase
Couchbase is a software company founded in 2011. It is placed fourth on our list of 10 most anticipated IPOs in 2021 and 2022. The company primarily develops commercial packages for open-source databases. The company filed for an IPO back in March and is valued at over $3 billion. It has already reported more than $100 million in annual revenue, according to news agency Reuters. The demand for products offered by Couchbase has soared amidst the COVID-19 pandemic as data storage and management becomes more important.
Couchbase has so far raised close to $300 million from investors led by GPI Capital, North Bridge Venture Partners and Accel, among others. There are some parallels in the Couchbase story and Amazon.com, Inc. (NASDAQ: AMZN), the Washington-based technology company that operates one of the largest web service businesses in the world. Amazon.com, Inc. (NASDAQ: AMZN) is one of five big tech giants that are expected to reach more than $2 trillion in market capitalization in the coming years.
On June 9, an executive at Amazon.com, Inc. (NASDAQ: AMZN) told news media that Amazon Care, a telehealth service of Amazon, had signed initial agreements with multiple firms and that the names of the partners would be released soon. Amazon Care was previously an inhouse service only. At the end of the first quarter of 2021, 243 hedge funds in the database of Insider Monkey held stakes worth $50 billion in Amazon.com, Inc. (NASDAQ: AMZN), down from 273 in the preceding quarter worth $51 billion.
3. Instacart
Instacart is a California-based retail company founded in 2012. It is ranked third on our list of 10 most anticipated IPOs in 2021 and 2022. The company operates an internet-based grocery delivery and pickup service, serving customers in the United States and Canada. The company is planning a debut on the stock market in the coming months but there is still confusion with regards to the method it will pick for the listing, with news agency Reuters reporting last month that the company was considering scrapping an IPO in favor of a direct listing.
Instacart is one of the most valuable private firms in the internet world and could debut at over $50 billion when it makes its debut. Last year, DoorDash, Inc. (NYSE: DASH), a food delivery service based out of California, reached a market valuation of over $60 billion on debut. DoorDash, Inc. (NYSE: DASH) has since snatched the food delivery space from competitors like Uber and become one of the largest and most recognizable brand names in the United States in the process.
On June 9, DoorDash, Inc. (NYSE: DASH) announced an official launch in Japan, one of the most prestigious markets in Asia. This was the first Asian country in which DoorDash debuted, and the third expansion of the firm outside the United States. It already operates in Australia and Canada. Out of the hedge funds being tracked by Insider Monkey, New York-based firm Coatue Management is a leading shareholder in DoorDash, Inc. (NYSE: DASH) with 9.2 million shares worth more than $1.2 billion.
2. Robinhood Markets
Robinhood Markets is a California-based financial services company founded in 2013. It is placed second on our list of 10 most anticipated IPOs in 2021 and 2022. Robinhood is famous for owning a trading app which allows users from all types of backgrounds to trade on the stock market. The application offers users the ability to make commission-free trades and has resulted in an influx of retail investors on the stock market that are increasingly shaping market dynamics by betting against traditional financial power players like hedge funds.
The company is planning for a blockbuster IPO in either 2021 or 2022 and is targeting a valuation of over $40 billion. Few applications in history have the sort of impact that Robinhood has had on the stock market, with perhaps only Microsoft Corporation (NASDAQ: MSFT) and their Windows computer software matching Robinhood in terms of the potential it offers to bring change to how business is conducted. Microsoft Corporation (NASDAQ: MSFT), since its founding in the 1970s, has grown rapidly and is now close to $2 trillion in market capitalization.
On June 7, investment advisory Morgan Stanley maintained an Overweight rating on Microsoft Corporation (NASDAQ: MSFT) stock with a price target of $300. The company’s shares have returned more than 36% to investors in the past year. At the end of the first quarter of 2021, 251 hedge funds in the database of Insider Monkey held stakes worth $58 billion in Microsoft Corporation (NASDAQ: MSFT), down from 258 in the preceding quarter worth $52 billion.
1. Stripe
Stripe is a California-based financial services company founded in 2009. It is ranked first on our list of 10 most anticipated IPOs in 2021 and 2022. The company markets payments processing solutions and other services for ecommerce and mobile applications. Stripe is perhaps the most valuable private company in California, with many high-profile business clients. It is planning for an IPO in the coming months and is targeting a valuation of over $100 billion in what is likely to be the biggest IPO in modern history.
Stripe is looking to capitalize on recent investor confidence around technology companies that has seen many big tech names reach astronomical evaluations on their IPO in recent months. Stripe is a financial services company much like Square, Inc. (NYSE: SQ), one of the market leaders in fintech with a market capitalization of close to $100 billion. Square, Inc. (NYSE: SQ) has witnessed stock price fall in recent weeks amid a broader lull around firms that have a large deal of money invested in cryptocurrencies.
On June 4, Square, Inc. (NYSE: SQ) CEO Jack Dorsey announced that the company was considering making a hardware product that would function as a Bitcoin wallet. The shares of the company jumped more than 3% after the announcement. Out of the hedge funds being tracked by Insider Monkey, New York-based investment firm ARK Investment Management is a leading shareholder in Square, Inc. (NYSE: SQ) with 10.9 million shares worth more than $2.4 billion.
You can also take a peek at Billionaire Stan Druckenmiller’s Top 10 Stock Picks and Billionaire Julian Robertson On Interest Rates and His Top Stock Picks For 2021.
