In a strong indicator of revived investor interest in initial public offerings, eToro Group Ltd. (NASDAQ:ETOR) saw its stock jump 29% on its first trading day on the Nasdaq. The social trading and investment platform offered nearly 11.9 million Class A shares at an initial price of $52. The stock peaked at $74.28 during the session before closing at $67.
The company’s public debut comes on the heels of impressive financial performance. In 2024, eToro reported $12.6 billion in revenue and $192 million in net income, a substantial increase from $3.89 billion in revenue and $15.3 million in profit the previous year.
eToro’s path to the public markets hasn’t been smooth. A previous attempt to go public via a merger with FinTech Acquisition Corp. V, a special-purpose acquisition company (SPAC), fell through. Although the merger was officially called off in July 2022 due to unmet conditions, market volatility likely played a significant role in the decision.
Yoni Assia, co-founder and CEO of eToro, highlighted the milestone in an interview with MarketWatch, noting it as the first IPO from a fintech company in roughly four years. “Some fintechs went public too early in 2021, during a time of inflated valuations and without sustainable profits,” Assia said. “We took the time to focus on scaling with profitability in mind.”
The successful debut is likely to boost confidence in the IPO space, which has seen a slowdown in recent years. While a few firms have entered the market in 2025, activity remains below pre-2021 levels.
Notable IPOs earlier this year include identity security provider SailPoint Technologies Inc., which raised $1.38 billion in February at $23 per share. In contrast, CoreWeave Inc.’s March debut fell short of expectations.
Several high-profile companies are gearing up for IPOs later this year. Among them are Circle Internet Group Inc., a stablecoin company announcing its plans on April 1; design collaboration platform Figma Inc., which followed with its announcement on April 15; and Chime Financial Inc., which revealed its intent to go public on May 13.
eToro’s strong market entrance may set the tone for other companies eyeing public listings in 2025, suggesting that investor appetite for IPOs could be returning.