One of the year’s most anticipated IPOs took place on Thursday when neobank Chime raised $864 million in its IPO, pricing its shares at $27, which is above its previously announced range of $24 to $26. That gave it a starting market cap of about $9.8 billion.
While some would point out that this is far below its last private valuation of $25 billion, according to PitchBook’s estimates, shares opened at $42, putting it at $14.5 by midday in heavy trading, according to Yahoo Finance. It closed the day at $37 and about a $12 billion market cap. That’s still well shy of it’s yesteryear high, but it was a healthy response from retail investors all the same.
The hungry response is largely due to some impressive financials. Chime reported $1.3 billion in revenue in 2023 and $1.7 billion in 2024. Losses shrank from $203 million in 2023 to $25 million in 2024. It became profitable in its first quarter of 2025 with $13 million of net income on $519 million in revenue — although the company warns it may not stay in the black as it spends on growth.