According to a comprehensive report by Axis Capital, nearly half of the 370 IPOs listed over the last six years are trading below their issue price. Out of these 370 companies, 180 are currently trading below their issue price, highlighting significant challenges in IPO performance. The report, which reviews mainboard IPOs and FPOs listed between July 2020 and January 2026, covers 374 companies across different market cycles and provides insights into the mixed performance of initial public offerings.
The data reveals substantial losses among listed companies, with nearly 19% or 70 firms experiencing losses of 25-50% from their IPO price. More concerning, 34 companies, or 9% are trading more than 50% lower than their issue price, indicating severe underperformance. Additionally, 50 companies, or 13% are currently trading at losses ranging between 10 and 25%, while 26 companies, or 7% are trading up to 10% below their issue price. This pattern suggests that a sizable portion of IPOs continue to face pressure well after listing.
Despite the challenges, the report shows that 194 out of 374 companies are trading above their issue price. Among these positive performers, 57 companies, or 15% of total companies are trading more than 100% higher than their issue price, demonstrating exceptional returns. 44 companies, or 12% have gained between 50 and 100%, while 35 companies, or 9% are up between 25 and 50%. An additional 25 companies, or 7% are trading 10 to 25% higher, indicating that while many IPOs struggle, some deliver strong long-term performance.
The findings of the Axis Capital report suggest that long-term performance of IPOs has been mixed, even as headline listing gains often draw investor attention. The data shows that investing in IPOs over the last six years has delivered strong gains for some companies, but a large number continue to remain under pressure, even several years after listing. The report emphasizes that while initial public offerings provide a pathway for companies to transition from private to public status, the performance trajectory varies significantly across different market cycles and individual company fundamentals.