On January 21, Lynn Martin, NYSE president, joined CNBC to discuss the IPO landscape for 2026. Martin predicted a super cycle for IPO activity this year. She noted that many companies are currently ready to go public, with acceleration expected toward the end of Q1 and into Q2. Regarding high-profile mega IPOs, she suggested that they may take a more selective and measured approach due to the significant size of the capital raises they are contemplating. She emphasized that these companies will likely wait to see what the markets signal before proceeding
On January 13, James Demmert, CIO of Main Street Research, appeared on CNBC to suggest that 2026 could be a groundbreaking year for IPOs and M&A. There is a significant pipeline of companies prepared to go public following delays caused by a government shutdown. Demmert advised investors to focus on banks with the talent to capitalize on this. While traditional consumer-focused banks are expected to beat expectations, he suggested that they will not do so by a wide margin. He argued that for true earnings juice, investors should favor investment-heavy banks. Regarding market volatility and the probe of Jerome Powell, Demmert remained unconcerned, labeling the situation as one of many ‘Trumpisms’. He urged investors to focus instead on earnings and profit margins.
That being said, we’re here with a list of the 14 best IPO stocks to buy right now.
Our Methodology
We sifted through the Finviz stock screener to compile a list of stocks that went public in the past 5 years. We then selected 14 stocks that were the most popular among elite hedge funds and that analysts were bullish on. The stocks are ranked in ascending order of the number of hedge funds that have stakes in them, as of Q3 2025.
Note: All data was sourced on February 9.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
14 Best IPO Stocks to Buy Right Now
14. BrightSpring Health Services Inc. (NASDAQ:BTSG)
Number of Hedge Fund Holders: 48
BrightSpring Health Services Inc. (NASDAQ:BTSG) is one of the best IPO stocks to buy right now. On February 2, BTIG analyst David Larsen raised the firm’s price target for BrightSpring Health to $55 from $50 with a Buy rating. This was part of a broader research note evaluating Healthcare IT and Digital Health companies ahead of their Q4 2025 earnings. Larsen expressed a positive outlook and identified the company as a proven operator that has consistently performed well across various market cycles.
Earlier on January 27, TD Cowen analyst Charles Rhyee also raised the firm’s price target for BrightSpring Health to $46 from $42 with a Buy rating. In a Q4 2025 earnings preview, Rhyee noted that the company is expected to sustain its momentum due to strong trends in specialty generics.
BMO Capital raised its price target for BrightSpring Health Services Inc. (NASDAQ:BTSG) on January 23 to $46 from $40 with an Outperform rating. The firm’s deep-dive analysis highlights strong pharmaceutical relationships and competitive positioning, reinforcing conviction in the durable growth of the company’s specialty business.
BrightSpring Health Services Inc. (NASDAQ:BTSG) operates as a home and community-based healthcare services platform in the US. It operates through two segments: Pharmacy Solutions and Provider Services.
13. Centuri Holdings Inc. (NYSE:CTRI)
Number of Hedge Fund Holders: 49
Centuri Holdings Inc. (NYSE:CTRI) is one of the best IPO stocks to buy right now. On January 23, Manish Somaiya of Cantor Fitzgerald initiated coverage on Centuri with an Overweight rating and a $34 price target. This adjustment was made as the firm cited a robust multi-year investment cycle in the Engineering & Construction sector.
This growth is driven by grid modernization, electrification, energy transition efforts, and increased power demand from data centers and reshoring, which together provide record backlogs and long-term revenue visibility. Cantor Fitzgerald highlighted Centuri’s highly recurring, MSA-driven utility revenue and accelerating electric growth, and noted that rapid post-spin deleveraging supports significant valuation upside.
Furthermore, on January 7, Wells Fargo analyst Joseph O’Dea increased the firm’s price target for Centuri Holdings Inc. (NYSE:CTRI) to $30 from $25 with an Overweight rating. In a review of the Electrical Equipment & Multi-Industry sector, the firm noted that it expects initial 2026 guidance ranges to be largely underwhelming, attributing this to a cautious approach in setting market expectations.
Centuri Holdings Inc. (NYSE:CTRI) operates as a utility infrastructure services company in North America. The company has four segments: US Gas Utility Services, Canadian Gas Utility Services, Union Electric Utility Services, and Non-Union Electric Utility Services.
12. Duolingo Inc. (NASDAQ:DUOL)
Number of Hedge Fund Holders: 50
Duolingo Inc. (NASDAQ:DUOL) is one of the best IPO stocks to buy right now. On February 3, Morgan Stanley reduced its price target for Duolingo to $245 from $275 while maintaining an Overweight rating. As this sentiment was posted, the firm expressed tactical caution regarding the upcoming earnings report.
The firm also suggested that a focus on user growth may result in initial fiscal year 2026 bookings guidance falling below Street estimates. Despite this, Morgan Stanley noted that daily active user growth is stabilizing and that ongoing initiatives to boost acquisition and retention should strengthen performance.
On January 27, DA Davidson also lowered its price target for Duolingo Inc. (NASDAQ:DUOL) to $170 from $205 with a Neutral rating. Based on in-house data tracking over 170,000 users, the firm noted that while January saw its strongest month-over-month increase since July, projected daily active users for Q1 remain approximately 4% below current consensus estimates.
Duolingo Inc. (NASDAQ:DUOL) operates as a mobile learning platform in the US, the UK, and internationally. The company offers courses in 40 different languages through its Duolingo app.
11. Viking Holdings Ltd. (NYSE:VIK)
Number of Hedge Fund Holders: 51
Viking Holdings Ltd. (NYSE:VIK) is one of the best IPO stocks to buy right now. On January 16, Morgan Stanley analyst Stephen Grambling increased the price target for Viking Holdings to $75 from $70 with an Overweight rating. In a 2026 outlook, Grambling noted that while gaming, lodging, and leisure fundamentals were muted in 2025, companies catering to older and wealthier demographics saw specific areas of acceleration.
Looking ahead, Morgan Stanley anticipates a continuation of these fundamental trends in the coming year, with the additional factor of interest rates potentially favoring goods over services.
On January 12, Bank of America also raised its price target for Viking Holdings Ltd. (NYSE:VIK) to $80 from $70 while keeping a Buy rating. The firm’s analysis of aggregated credit and debit card data revealed a 10.5% year-over-year increase in monthly cruise spending for December. BofA noted that cruise spending continues to show unique strength compared to other travel sectors, which saw an overall decline of 1.9% year-over-year in December, including a 4.1% drop in airline spend and a 2.4% decrease in hotel spend.
Viking Holdings Ltd. (NYSE:VIK) engages in the passenger shipping and other forms of passenger transport in North America, the UK, and internationally. It operates through the River & Ocean segments.
10. GitLab Inc. (NASDAQ:GTLB)
Number of Hedge Fund Holders: 51
GitLab Inc. (NASDAQ:GTLB) is one of the best IPO stocks to buy right now. On February 5, Truist reduced its price target for GitLab to $35 from $42 while keeping a Hold rating as part of a wider analysis of the infrastructure software sector. The firm noted that current market pressure is primarily driven by concerns regarding long-term terminal value rather than immediate fundamentals, highlighting the increasing importance of AI-centered strategies.
According to Truist, companies relying on seat-based revenue models were the sector’s weakest performers in 2025 and have continued to underperform in early 2026. Consequently, the firm views the successful adoption of AI use cases and a transition away from seat-based deployments as vital strategic requirements for these firms.
Earlier on January 12, Morgan Stanley downgraded GitLab Inc. (NASDAQ:GTLB) to Equal Weight from Overweight and lowered its price target to $42 from $55. While the firm believes that concerns regarding competition from AI startups and risks to developer seat growth are exaggerated, it expects that disproving these bearish views will take time. Consequently, the analyst views FY2027 as a transition period likely characterized by a further growth slowdown and identifies near-term tactical risks.
GitLab Inc. (NASDAQ:GTLB), together with its subsidiaries, develops software for the software development lifecycle in the US, Europe, and the Asia Pacific.
9. Veralto Corporation (NYSE:VLTO)
Number of Hedge Fund Holders: 53
Veralto Corporation (NYSE:VLTO) is one of the best IPO stocks to buy right now. On February 6, UBS analyst Joshua Spector lowered the firm’s price target for Veralto to $102 from $109 while keeping a Neutral rating on the shares.
On the same day, Stifel analyst Nathan Jones lowered the firm’s price target for Veralto to $118 from $120 while maintaining a Buy rating. Jones noted that during this earnings season, modest misses compared to consensus estimates have resulted in significant share price declines. Veralto experienced this trend after its 2026 EPS guidance midpoint was set just 1% below consensus expectations.
Barclays analyst William Grippin also lowered the firm’s price target for Veralto Corporation (NYSE:VLTO) to $117 from $121 with an Overweight rating. This adjustment follows an update to the company’s financial model after its Q4 report. Grippin noted that the stock’s recent decline was driven by broader market dynamics rather than any concerns specific to the company itself.
Veralto Corporation (NYSE:VLTO) provides water analytics, water treatment, marking and coding, and packaging and color solutions worldwide. It has two segments: Water Quality and Product Quality & Innovation.
8. GE HealthCare Technologies Inc. (NASDAQ:GEHC)
Number of Hedge Fund Holders: 58
GE HealthCare Technologies Inc. (NASDAQ:GEHC) is one of the best IPO stocks to buy right now. On February 6, Barclays increased its price target for GE HealthCare to $87 from $86 and maintained an Equal Weight rating. The firm noted that the company achieved a solid beat in its Q4 2025 results and established a 2026 outlook that exceeds Street expectations.
A day before that, Stifel analyst Rick Wise increased the firm’s price target for GE HealthCare to $98 from $95 with a Buy rating. Following the company’s earnings call, the firm expressed encouragement regarding the prudent outlook provided for 2026.
On February 4, Morgan Stanley raised its price target for GE HealthCare Technologies Inc. (NASDAQ:GEHC) to $85 from $80 with an Equal Weight rating. The firm updated its risk-reward assessment for the stock following Q4 2025 results that surpassed expectations. The firm noted that demand remains robust, supported by a strong order backlog, positive peer performance, and results from the firm’s hospital capital expenditure survey.
GE HealthCare Technologies Inc. (NASDAQ:GEHC) develops, manufactures, and markets products, services, and complementary digital solutions used in the diagnosis, treatment, and monitoring of patients in the US, Canada, and internationally.
7. Core & Main Inc. (NYSE:CNM)
Number of Hedge Fund Holders: 60
Core & Main Inc. (NYSE:CNM) is one of the best IPO stocks to buy right now. On January 14, Wells Fargo analyst Sam Reid raised the price target for Core & Main to $65 from $57 and maintained an Overweight rating. This adjustment was made as the firm observed that 2026 had begun with volatility and expressed caution ahead of the upcoming quarterly results.
Wells Fargo suggested that builders currently carry high risk following a recent market rally and noted that while products are mixed, they are not particularly compelling. The firm advised investors not to chase the stock at current levels.
On January 9, RBC Capital raised its price target for Core & Main Inc. (NYSE:CNM) to $63 from $62, with an Outperform rating. The firm expressed caution heading into early 2026 and cited persistent challenges in housing affordability and a potential inflection point for the repair and remodeling market later in the year. The firm expects continued volatility within the sector and noted that homebuilders remain the most cautious, while favor is shown toward distribution and building products OEMs due to relatively attractive valuations.
Core & Main Inc. (NYSE:CNM) distributes water, wastewater, storm drainage, and fire protection products and related services in the US.
6. SharkNinja Inc. (NYSE:SN)
Number of Hedge Fund Holders: 71
SharkNinja Inc. (NYSE:SN) is one of the best IPO stocks to buy right now. On January 16, JPMorgan raised its price target for SharkNinja to $142 from $126 and kept an Overweight rating. This decision was made as part of a Q4 2025 earnings preview for the beverage, household, and personal care sector.
The firm describes a mixed outlook for the industry, predicting lackluster sales for plain vanilla companies and those heavily reliant on the US consumer. Conversely, JPMorgan expects continued outperformance from stocks with beauty exposure and companies focused on differentiated and innovative premium products.
On January 13, Oppenheimer analyst Rupesh Parikh raised the firm’s price target for SharkNinja Inc. (NYSE:SN) to $140 from $130 with an Outperform rating. Following meetings with senior management, the firm expressed increased optimism regarding the stock’s status as a top pick and its potential for continued outperformance. Parikh noted that management’s tone remains highly positive.
SharkNinja Inc. (NYSE:SN) is a product design and technology company that provides various solutions for consumers in the US, China, and internationally.
5. Reddit Inc. (NYSE:RDDT)
Number of Hedge Fund Holders: 80
Reddit Inc. (NYSE:RDDT) is one of the best IPO stocks to buy right now. On February 6, Baird reduced its price target for Reddit to $200 from $240 and kept a Neutral rating. The firm adjusted its financial model for the company following the release of strong quarterly results and a positive forward outlook.
On the same day, Piper Sandler analyst Thomas Champion also lowered the firm’s price target for Reddit Inc. (NYSE:RDDT) to $205 from $290, while maintaining an Overweight rating. Although the firm noted another strong quarter for Reddit, with user growth exceeding expectations, the magnitude of that beat was smaller than in the previous quarter. While Piper Sandler raised its financial estimates, the price target was reduced to account for valuation multiple contraction.
Morgan Stanley also cut its price target for Reddit to $240 from $265 with an Overweight rating. Following the company’s earnings report, the firm increased its revenue forecasts for fiscal years 2026 and 2027 by 1% each, citing Reddit’s extensive advertiser engagement as evidence of a lasting growth runway. However, the price target was reduced to reflect a lower target multiple.
Reddit Inc. (NYSE:RDDT) operates a global digital community. The company’s platform enables users to engage in conversations, explore passions, research new hobbies, exchange goods & services, and create new communities & experiences.
4. Coupang Inc. (NYSE:CPNG)
Number of Hedge Fund Holders: 83
Coupang Inc. (NYSE:CPNG) is one of the best IPO stocks to buy right now. On February 5, Bernstein initiated coverage of Coupang with an Underperform rating and a $17 price target. This announcement was made as part of the firm’s broader review of the South Korean internet sector.
The firm favors companies with high growth potential linked to online penetration and leadership in AI, expecting the shift toward online channels to continue, specifically within South Korea’s digital advertising market. However, Bernstein contends that the e-commerce and food delivery sectors currently offer limited opportunities for growth.
Earlier on January 12, Nomura downgraded Coupang to Neutral from Buy and reduced its price target to $22 from $30. While the firm initially viewed the November 30 data breach as a temporary issue, it now highlights increased regulatory risk as the South Korean FTC has indicated plans for rigorous administrative measures. As a result, Nomura cut its 2026 EPS forecast by 95% to $0.03, accounting for the costs of a consumer compensation package and a potential $900 million fine.
Coupang Inc. (NYSE:CPNG), together with its subsidiaries, owns and operates a retail business through its mobile applications and internet websites in South Korea and internationally.
3. Talen Energy Corporation (NASDAQ:TLN)
Number of Hedge Fund Holders: 88
Talen Energy Corporation (NASDAQ:TLN) is one of the best IPO stocks to buy right now. On January 20, Wells Fargo analyst Shahriar Pourreza raised the firm’s price target for Talen Energy to $506 from $445 with an Overweight rating. Pourreza identified Talen Energy as a key participant in ongoing debates regarding PJM colocation and resource adequacy.
The firm’s positive stance is supported by the completion of 2025 deals, the announcement of a 2026 ECP transaction, and a continued focus on the company’s cash flywheel. Wells Fargo further noted that the company’s fundamental outlook remains consistent with its previous assessment.
On January 16, Morgan Stanley raised its price target for Talen Energy Corporation (NASDAQ:TLN) to $470 from $443 with an Overweight rating. This update followed the company’s acquisition of 2.6 GW of gas generation assets in the PJM market from Energy Capital Partners. The firm noted that the deal’s strategic rationale (expanding options for data center agreements and increasing exposure to rising power prices) is a positive development, stating that the current valuation appears highly attractive.
Talen Energy Corporation (NASDAQ:TLN) is an independent power producer and infrastructure company that produces and sells electricity, capacity, and ancillary services into wholesale power markets in the US. It operates nuclear, fossil, oil, natural gas, and coal power plants.
2. Roblox Corporation (NYSE:RBLX)
Number of Hedge Fund Holders: 90
Roblox Corporation (NYSE:RBLX) is one of the best IPO stocks to buy right now. On February 6, Citi analyst Jason Bazinet reduced the firm’s price target for Roblox to $119 from $152, while keeping a Buy rating. This adjustment reflects an update to the firm’s financial model following the company’s Q4 2025 results and accounts for recent multiple compression observed among Roblox’s industry peers.
On the same day, Piper Sandler lowered the price target for Roblox Corporation (NYSE:RBLX) to $100 from $125 amd kept an Overweight rating. The firm observed that the shares outperformed following a reported 63% year-over-year increase in bookings, which exceeded the firm’s estimates and were better than feared. Despite this growth, the firm noted a deceleration from the 70% year-over-year increase seen in the previous quarter.
Additionally, UBS lowered its price target for Roblox to $74 from $103 with a Neutral rating. The firm noted that the company’s Q4 2025 results were strong and the 2026 outlook exceeded expectations. Despite the anticipated positive reaction to these results, the firm argued that concerns regarding competition and the emergence of new AI platforms may continue to weigh on the stock.
Roblox Corporation (NYSE:RBLX) operates an immersive platform for connection and communication in the US and internationally.
1. GE Vernova Inc. (NYSE:GEV)
Number of Hedge Fund Holders: 108
GE Vernova Inc. (NYSE:GEV) is one of the best IPO stocks to buy right now. On February 4, Baird analyst Ben Kallo upgraded GE Vernova to Outperform from Neutral and significantly raised the price target to $923 from $701. The firm asserted that the current energy infrastructure cycle is in its early stages, which positions GE Vernova as a primary beneficiary.
Based on recent channel checks, Kallo suggested that previous concerns regarding overcapacity are unlikely to manifest in the near or intermediate term. Furthermore, Baird contends that the company’s margin expansion is only just starting.
On January 30, Guggenheim upgraded GE Vernova Inc. (NYSE:GEV) to Buy from Neutral and established a $910 price target. The firm suggested that the market may be underestimating the company’s capacity for cash generation and capital returns, as well as the potential for further margin expansion within its electrification segment.
GE Vernova Inc. (NYSE:GEV) is an energy company that provides various products and services that generate, transfer, orchestrate, convert, and store electricity in the US, Europe, Asia, the Middle East, and Africa. It has three segments: Power, Wind, and Electrification.
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