SchusterWatch #792 (6/16/2025)
IPOX® trades mixed as Geopolicits dent otherwise strong sentiment.
The New Generation of Chinese Stock Market Leadership.
IPOX® 100 U.S. (ETF: FPX) consolidates, declines to +15.07% YTD.
U.S. IPOs of fintech Chime and space defense firm Voyager surge on debut.
IPOX® WEEKLY REVIEW: Geopolitics dented the otherwise positive tone from global equities stemming from good U.S. inflation numbers and auctions for U.S. debt towards the weekend. Ahead of quarterly Futures & Options expiration and re-balancing, most of the IPOX® Indexes traded mixed as a results, with particular upside focus on the IPOX® Global China (CNI) as select companies capturing the New Generation traded in uncharted territory anew.
THE NEW GENERATION OF CHINESE STOCK MARKET LEADERSHIP: The big story of last week belonged to the unabated rise in a select number of Chinese stocks in the adaptive IPOX® Global China (CNI) as a one-portfolio-trade: The portfolio of 50 of the largest, most liquid and best performing China-domiciled New Listings sourced by IPOX® rose to +39.53% YTD (Total Return), extending its YTD lead vs. China stock benchmark MSCI China (MXCN) to +2280 bps.
Amid another Deutsche Bank upgrade, $47 billion market cap “Labubu” maker Pop Mart International (9992 HK: +11.36%) drove some of the gain, alongside the diversified basket of firms ranging from innovative health care/biotech firms to high dividend paying materials IPO (M&A) exposure. IPOX® Global China strength also propelled the IPOX® International (ETF: FPXI) to a positive week, while the IPOX® 100 Europe (ETF: FPXE) fell after three consecutive weeks of gains. Listed in October 2022, we note the all-time high in Swiss turbocharger-specialized engineering firm Accelleron (ACLN SW: +7.33%) after reporting stellar results and receiving respective follow-on upgrades.
UNITED STATES CONSOLIDATED AFTER THE BIG-RUN UP LAST WEEK: The IPOX® 100 U.S. (ETF: FPX) – benchmark for the performance of U.S. IPOs and tracked by $2 billion in AUMs tied to ETFs, SMAs and listed Futures - consolidated after the massive run-up to decline by -1.72% to +15.07% YTD, following small caps and lagging the S&P 500 (ETF: SPY) by -133 bps. 68% of firms fell, with the average (median) equally weighted stock declining by -1.68% (-1.45%), a touch less when compared to the applied market-cap weighted index. More good company news propelled de-SPAC AST SpaceMobile (ASTS US: +23.02%) to another strong week, while earnings drove software maker Thoma Bravo-backed recent re-IPO SailPoint (SAIL US: +18.56%) to recover some of the post-IPO losses. We also note the good week in mortgage finance play Mr. Cooper (COOP US: +8.99%) – an IPO M&A takeover candidate - on the back of the gain in potential acquirer Rocket Internet (RKT US: +7.75%) on lower rates and odds that the deal may not go through. CA-based Software solutions firm Gitlab (GTLB: -15.46%) sank on weak earnings.
SPACS ARE BACK: The Index edged down -0.06% last week, bringing its year-to-date performance to +2.52%. Space-based cellular broadband provider AST SpaceMobile (ASTS US: +23.02%) extended its rally for a 2nd consecutive week after securing rights to use lower mid-band spectrum from Ligado, in support of Ligado’s bankruptcy proceedings. In contrast, quantum computing company D-Wave Quantum (QBTS US: -18.53%) declined following the secondary stock sale agreements. Quartzsea Acquisition Corp (QSEA US) announced to merge with Broadway Technology, a Chinese manufacturer of plastic cups and lids. No SPAC completed business combinations during the week, while 3 new SPAC IPOs were launched in the U.S.
ECM deals: 24 companies went public globally last week, raising $2.7 billion. New listings showed strong performance, with the average (median) deal gaining +53.69% (+28.85%). U.S. listings were in focus, including mobile banking app Chime (CHYM US: +28.85%, $994m) and space defense firm Voyager Technologies (VOYG US: +75.39%, $440m). In a Reuters article, IPOX® VP Kat Liu noted that Chime's strong reception could encourage other fintechs to go public. For Voyager, IPOX® Research Associate Dr. Lukas Muehlbauer talked about the unique risk profile of defense firms in another article. Other notable debuts included Swedish mortgage lender Enity (ENITY SS: +30.70%, $174m) and Norwegian construction firm Sentia (SNTIA NO: +14.00%, $158m). The calendar remains active this week with several U.S. listings, including insurtech Slide Insurance (SLDE US, ~$340m) and cancer diagnostics firm Caris Life Sciences (CAI US, ~$423.5m), both of which were subjects of Reuters articles featuring commentary from IPOX®. In Hong Kong, China’s largest soy sauce producer, Foshan Haitian Flavouring & Food (3288 HK), is expected to raise up to $1.22 billion.
Visit the IPOX® Calendar for this week’s listing overview and read
The IPOX® Update for the latest IPO News.
