IPO Market Rebounds as AI, E-Commerce, and Profitable SaaS Offer Growth Despite Volatility

IPO market rebounded in recent months, helped by AI rally, lower inflation, and stable rates. Major listings like Arm, Instacart, and Klaviyo provide insights into AI, e-commerce, and SaaS.

AI chip demand is surging, evidenced by Arm IPO's $60B valuation. AI chip market projected to grow over 30% annually this decade.

Instacart diversified revenue through ads, comprising 29% of total revenue. Focus on profitability paid off, with $114M net income in Q2 2023.

Klaviyo proved SaaS companies can IPO at high valuations if profitable. Had $15.2M net income in H1 2023 compared to $24.6M loss in H1 2022.

Momentum expected through 2024 despite market volatility. Investors shifting focus to profitability over growth.