2013 was the best year for the US IPO market since 2000. Against a favorable backdrop marked by a rising stock market, low interest rates, reduced volatility and increased risk tolerance among investors, a total of 222 companies went public and raised $55 billion. The window for US IPOs remained open throughout the year, unlike recent years characterized by bouts of stop-and-start activity. IPO performance beat benchmark indices, with an average return of 41%. Though these improvements have raised the question for some of whether 2013 portends an overbought, bubble market, valuations were disciplined. While health care, technology and consumer produced many of the year’s biggest hits, the increase in IPO activity was broad-based. With a building backlog of IPOs and economic indicators continuing to show signs of improvement, we anticipate another dynamic year for the US IPO market in 2014.
View our 2013 US IPO Annual Review.
