A review of the 2025 IPO market shows new US listings averaged a 13.9% return. This performance fell short of the S&P 500, which gained 16%.
High-profile cryptocurrency IPOs contributed to this underperformance. The listing of Circle (CRCL) exemplifies this trend.
Circle's stock experienced dramatic volatility. It listed at $31 and surged 170% on its first trading day. However, the stock subsequently faced a significant decline, ending approximately 70% down from its October peak.
This pattern of initial investor enthusiasm followed by substantial losses was common among several crypto companies that went public in 2025.