The Number Of 2018 U.S. Tech IPOs Will Double Over The Next 10 Days

|
Includes: CDAY, CDLX, DBX, DOCU, LASR, PVTL, SMAR, ZS, ZUO
by: Renaissance Capital IPO Research

A wave of US tech IPOs has taken over the April IPO calendar. Five US tech companies are going public over the next 10 days, more than double the four that have IPO'd year to date. Those four average a 42% return from IPO, with standout returns from the three unicorns valued at over $1 billion.

Four US Tech Companies Have IPO'd in 2018: 42% Average Return
Issuer
Business
Trade Date LTM Sales
YoY Growth
Deal Size
IPO Mkt Cap
Price vs.
Midpoint
1st-Day Pop
04/17 Return
Zuora (NYSE:ZUO)
San Mateo, CA
04/12/18 $168M
+30%
$154M
$1,643M
40% +43%
+47%
Provides a cloud-based subscription billing and management platform.
Dropbox (NASDAQ:DBX)
San Francisco, CA
03/23/18 $1,107M
+31%
$756M
$9,437M
24% +36%
+42%
Leading web-based cloud storage and collaboration platform.
Zscaler (NASDAQ:ZS)
San Jose, CA
03/16/18 $154M
+57%
$192M
$2,056M
46% +106%
+80%
Provides a cloud-based network security service for enterprises.
Cardlytics (NASDAQ:CDLX)
Atlanta, GA
02/09/18 $128M
+15%
$70M
$267M
-7% +3%
+9%
Provides a banking-based advertising channel to consumer products marketers.

Note: Table shows organic growth rates. Excludes non-US companies that have listed in New York.

Five more US tech IPOs are scheduled for April, including four enterprise software companies with proposed valuations of more than $1 billion. Investors have demonstrated a strong appetite for high-growth software plays, which should benefit Pivotal (NYSE:PVTL), DocuSign (NASDAQ:DOCU) and SmartSheet (NYSE:SMAR). DocuSign in particular boasts over $500 million in sales, 36% growth and positive free cash flow. While SmartSheet has high losses and comparatively lower annual sales, its blazing-fast growth (+66%) should garner interest.

Five US Tech Companies Scheduled to Go Public
Issuer
Business
LTM Sales
YoY Growth
Deal Size
Market Cap
Price Range
Shares Filed
Pricing
Date
Pivotal Software (PVTL)
San Francisco, CA
$509M
+22%
$555M
$4,274M
$14 - $16
37,000,000
Thu
04/19
DellEMC spin-off providing a platform to streamline cloud software development.
Ceridian HCM (NYSE:CDAY)
Minneapolis, MN
$751M
+7%
$420M
$2,753M
$19 - $21
21,000,000
Wk of
04/23*
Provides enterprises with human capital management software.
DocuSign (DOCU)
San Francisco, CA
$519M
+36%
$543M
$4,676M
$24 - $26
21,700,000
Wk of
04/23*
Provides a cloud-based electronic signature platform.
Smartsheet (SMAR)
Bellevue, WA
$111M
+66%
$128M
$1,204M
$10 - $12
11,632,950
Wk of
04/23*
Provides a spreadsheet-based work collaboration platform.
nLight (NASDAQ:LASR)
Vancouver, WA
$139M
+37%
$76M
$533M
$13 - $15
5,400,000
Wk of
04/23*
Manufactures high-power semiconductor and fiber lasers.