Tech IPO Market Cools as Profits Take Priority Over Growth
- IPO market remains slow - no major tech IPOs above $1B since September
- Companies now focused more on profitability over growth
- Public cloud companies seeing slowing growth - rev growth down from 37.5% to 18.9% in 2 years
- Valuation multiples significantly lower than 2021 - 5.7x rev vs 13.4x
- Expect IPO activity to remain light in 2024 - likely more M&A instead of public listings