Tech IPO market collapsed in 2022; next year doesn’t look much better

The Nasdaq MarketSite in New York.

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Following a record-smashing tech IPO year in 2021 that featured the debuts of electric car maker Rivian, restaurant software company Toast, cloud software vendors GitLab and HashiCorp and stock-trading app Robinhood, 2022 has been a complete dud.

The only notable tech offering in the U.S. this year was Intel’s spinoff of Mobileye, a 23-year-old company that makes technology for self-driving cars and was publicly traded until its acquisition in 2017. Mobileye raised just under $1 billion, and no other U.S. tech IPO pulled in even $100 million, according to FactSet.

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In 2021, by contrast, there were at least 10 tech IPOs in the U.S. that raised $1 billion or more, and that doesn’t account for the direct listings of Roblox, Coinbase and Squarespace, which were so well-capitalized they didn’t need to bring in outside cash.

The narrative completely flipped when the calendar turned, with investors bailing on risk and the promise of future growth, in favor of profitable businesses with balance sheets deemed strong enough to weather an economic downturn and sustained higher interest rates. Pre-IPO companies altered their plans after seeing their public market peers plunge by 50%, 60%, and in some cases, more than 90% from last year’s highs.

In total, IPO deal proceeds plummeted 94% in 2022 — from $155.8 billion to $8.6 billion — according to Ernst & Young’s IPO report published in mid-December. As of the report’s publication date, the fourth quarter was on pace to be the weakest of the year.

With the Nasdaq Composite headed for its steepest annual slump since 2008 and its first back-to-back years underperforming the S&P 500 since 2006-2007, tech investors are looking for signs of a bottom.

But David Trainer, CEO of stock research firm New Constructs, says investors first need to get a grip on reality and get back to valuing emerging tech companies based on fundamentals and not far-out promises.

As tech IPOs were flying in 2020 and 2021, Trainer was waving the

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March 2022 – Satellite Technology of the Year Nominees for 2021

Via Satellite presents its annual Satellite Technology of the Year award to companies that develop and deploy the most impactful satellite-related products and services available to the market. Via Satellite measures that impact in a number of ways when considering products and services for nominations.

A Satellite Technology of the Year award candidate could represent a significant technological breakthrough when compared to previous products. It could also represent a product that has achieved remarkable financial success in a competitive landscape. All nominations must have achieved operational status during the year, or available for customers through contracts and service agreements.

The winner of the award will be determined by a public vote combined with the votes of the Via Satellite editorial board. The winner will be announced during the Via Satellite awards luncheon on Wednesday, March 23, at the SATELLITE 2022 conference in Washington, D.C. Voting is open online from Feb. 22 to 12 p.m. on March 22 and can be accessed at satellitetoday.com/vote. The 2021 Technology of the Year nominees are (in alphabetical order by company name):

Astroscale, End-of-Life Services by Astroscale Demonstration (ELSA-d) Spacecraft Platform

After its launch in March 2021, ELSA-d, operated by Japanese space startup Astroscale, became the world’s first active mission dedicated to demonstrating the core capabilities necessary for space debris docking and removal. ELSA-d’s mission itinerary involves a long list of extremely challenging or entirely unprecedented maneuvers in space. It must fulfill Astroscale’s promise of a full Active Debris Removal (ADR) service that includes client spacecraft search, inspection, rendezvous, and both tumbling and non-tumbling docking.

ELSA-d consists of both a servicer satellite and a client satellite that were launched into space stacked on top of each other. The servicer satellite is equipped with proximity rendezvous technologies and a magnetic docking mechanism designed to safely remove debris objects from orbit. In less than a year in space, the ELSA-d has already set operational benchmarks for future rendezvous and proximity missions and has successfully tested its ability to capture and release the client spacecraft. ELSA-d’s success will pave the way for Astroscale’s next multi-client (ELSA-M) servicer,

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Is Cisco Systems (CSCO) Outperforming Other Computer and Technology Stocks This Year?

Investors centered on the Laptop and Engineering space have probably listened to of Cisco Programs (CSCO), but is the inventory performing very well in comparison to the rest of its sector friends? 1 uncomplicated way to answer this issue is to just take a glance at the 12 months-to-day functionality of CSCO and the rest of the Personal computer and Technological know-how group’s shares.

Cisco Units is a member of our Computer system and Engineering group, which contains 646 distinct firms and currently sits at #8 in the Zacks Sector Rank. The Zacks Sector Rank considers 16 diverse sector groups. The typical Zacks Rank of the personal stocks inside of the groups is measured, and the sectors are mentioned from finest to worst.

The Zacks Rank emphasizes earnings estimates and estimate revisions to uncover shares with enhancing earnings outlooks. This process has a lengthy file of success, and these stocks have a tendency to be on keep track of to beat the market place in excess of the following just one to three months. CSCO is now sporting a Zacks Rank of #2 (Get).

Around the past 90 days, the Zacks Consensus Estimate for CSCO’s entire-calendar year earnings has moved 1.96% better. This signals that analyst sentiment is increasing and the stock’s earnings outlook is much more constructive.

Dependent on the most recent accessible details, CSCO has attained about 25.68% so considerably this yr. At the identical time, Personal computer and Engineering shares have obtained an regular of 25.16%. This indicates that Cisco Techniques is undertaking improved than its sector in terms of calendar year-to-date returns.

To break things down far more, CSCO belongs to the Computer – Networking marketplace, a team that involves 9 individual firms and at the moment sits at #83 in the Zacks Field Rank. Stocks in this team have received about 26.67% so considerably this yr, so CSCO is marginally underperforming its industry this team in terms of 12 months-to-date returns.

CSCO will most likely be on the lookout to go on its good functionality, so investors intrigued in Pc and Know-how stocks should

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