2024 IPO Boom: 3 Hot Companies You Can’t Afford to Miss

Databricks: Leading the AI and Big Data Revolution

Overview

Databricks is a cloud-based data and AI platform founded in 2013 by a group of researchers from the University of California, Berkeley. The company has quickly become a leader in big data analytics, helping businesses make sense of the vast amounts of data they generate. Its platform allows users to process and analyze large datasets using AI and machine learning (ML) tools, helping companies across a range of industries to drive innovation and improve decision-making.

Market Opportunity

One of the main reasons why investors are so bullish on Databricks is the explosive growth of the AI and big data markets. According to a report by Grand View Research, the global big data market is expected to grow at a compound annual growth rate (CAGR) of 12.7% from 2021 to 2028, reaching $273 billion by 2028. Similarly, the AI market is projected to grow at a CAGR of 42.2% from 2020 to 2027, according to Fortune Business Insights.

Databricks is well-positioned to capitalize on these trends. Its platform is used by over 5,000 organizations worldwide, including major companies like Shell, Comcast, and Regeneron, to process and analyze data in real time. Additionally, Databricks has established partnerships with tech giants like Microsoft and Amazon Web Services (AWS), further bolstering its market reach.

Financials and Valuation

Databricks has raised over $4.18 billion in funding to date, with its latest funding round valuing the company at $43 billion. Its revenue growth has been equally impressive, with the company reportedly generating $1.6 billion in revenue in 2023. This rapid growth has put Databricks at the top of investors' lists of potential blockbuster IPOs in 2024​(

Competitive Landscape

Databricks faces competition from other data analytics platforms, such as Snowflake and Google’s BigQuery. However, what sets Databricks apart is its focus on AI and machine learning, which are increasingly becoming integral to data analytics. Databricks has also been on an acquisition spree, acquiring several AI startups in 2023, further strengthening its capabilities in this area.

Why You Can’t Afford to Miss This IPO

Investors are excited about Databricks’ IPO because the company is at the forefront of two of the most important technology trends of the decade: AI and big data. With its strong customer base, strategic partnerships, and impressive revenue growth, Databricks is well-positioned to become a dominant player in the data analytics market for years to come.

Epic Games: Revolutionizing the Gaming and Software Industry

Overview

Epic Games is best known for developing the wildly popular game Fortnite, which has over 350 million registered users worldwide. However, the company is much more than just a gaming studio. It also operates Unreal Engine, one of the most widely used game development platforms globally, as well as Epic Games Store, a digital distribution platform for games.

Founded in 1991 by Tim Sweeney, Epic Games has transformed into a diversified entertainment and software company with multiple revenue streams. The company’s success with Fortnite has allowed it to invest heavily in other areas, such as its game engine and its digital store.

Market Opportunity

The global gaming market is expected to reach $268.8 billion by 2025, up from $178.73 billion in 2021, according to Statista. Epic Games is well-positioned to capitalize on this growth, thanks to its diverse portfolio of gaming and software products.

One of the company’s key assets is Unreal Engine, which is used not only for game development but also for film production, virtual reality (VR), and architectural visualization. Unreal Engine is becoming an increasingly important tool for industries beyond gaming, and its adoption is expected to grow significantly in the coming years.

Financials and Valuation

Epic Games raised $1.5 billion in a funding round in 2022, bringing its total valuation to $31.5 billion. The company’s revenue from Fortnite alone is estimated to be in the billions, with additional revenue coming from its Unreal Engine licensing and Epic Games Store sales​(

Competitive Landscape

Epic Games competes with other major gaming companies like Activision Blizzard and Electronic Arts, as well as with digital distribution platforms like Steam. However, the company’s unique position as both a game developer and a software provider gives it a competitive edge. Its investment in Unreal Engine and its growing presence in the digital distribution market through Epic Games Store also provide it with multiple growth avenues.

Why You Can’t Afford to Miss This IPO

Epic Games has already proven its ability to create blockbuster games, but its potential goes far beyond gaming. The company’s investments in Unreal Engine and its digital store position it for long-term growth in both the gaming and software markets. With a diversified revenue stream and a loyal user base, Epic Games’ IPO is one that investors won’t want to miss.

Northvolt: Powering the Future with Clean Energy

Overview

Northvolt is a Swedish startup that specializes in producing lithium-ion batteries for electric vehicles (EVs) and energy storage systems. Founded in 2016 by Peter Carlsson, a former Tesla executive, Northvolt has quickly become a leader in the European battery market, with a focus on sustainability and clean energy.

The company’s mission is to produce the world’s greenest batteries, with a strong emphasis on using renewable energy sources and recycling materials. Northvolt’s batteries are already being used by major automakers like Volkswagen and BMW, and the company is rapidly expanding its production capacity to meet the growing demand for EV batteries.

Market Opportunity

The global market for EV batteries is expected to grow at a CAGR of 18.1% from 2021 to 2028, reaching $84.76 billion by 2028, according to Fortune Business Insights. This growth is being driven by the increasing adoption of electric vehicles, as well as government regulations aimed at reducing carbon emissions.

Northvolt is well-positioned to capitalize on this trend, thanks to its focus on sustainability and its partnerships with major automakers. The company is also expanding its production capacity, with plans to build several new gigafactories across Europe and North America.

Financials and Valuation

Northvolt has raised over $14.3 billion in funding to date, with its most recent funding round valuing the company at $12 billion. The company is using this capital to rapidly scale up its production capacity, with the goal of becoming one of the largest battery manufacturers in the world​(

Competitive Landscape

Northvolt competes with other major battery manufacturers like Panasonic, LG Chem, and CATL. However, its focus on sustainability and its close ties to the European market give it a unique advantage. Northvolt’s emphasis on using renewable energy in its production process and its battery recycling initiatives also set it apart from its competitors.

Why You Can’t Afford to Miss This IPO

The shift toward clean energy and electric vehicles is one of the most significant global trends of the decade, and Northvolt is at the forefront of this transformation. With its strong focus on sustainability, its partnerships with major automakers, and its rapidly expanding production capacity, Northvolt is poised to become a major player in the global battery market. Investors looking to capitalize on the growth of the clean energy sector should keep a close eye on Northvolt’s upcoming IPO.

Conclusion: A New Era of IPOs

The IPO market in 2024 is expected to be one of the most exciting in recent years, with a number of high-profile companies set to go public. Databricks, Epic Games, and Northvolt are three companies that stand out due to their strong market positions, innovative technologies, and significant growth potential. Whether you’re interested in AI and big data, gaming and software, or clean energy solutions, these companies offer exciting investment opportunities that you can’t afford to miss.

As the year progresses, these IPOs are likely to attract significant attention from both institutional and retail investors. While the IPO market can be unpredictable, the potential rewards for getting in early on these companies could be substantial. Make sure to stay informed and ready to take advantage of the opportunities that the 2024 IPO boom has to offer.