In the U.S., 1,227 companies went public in 2025, raising $158.4 billion in global initial public offering (IPO) markets. This represents an 18% increase in funds raised compared to 2024. How many of these firms will go on to generate significant success is uncertain. However, for those that do the innovation, expansion and returns can be substantial.
As an example of the latter, forex broker experts at BrokerChooser have examined how the total returns of some of today’s most valuable companies that went public over the past 30 years have evolved since their IPOs, showing which generated the largest gains from an initial $1,000 investment.
How much $1K invested in these companies’ IPO would be worth today
| Rank | Company | IPO Year | Value of $1,000 Investment Today (USD) | CAGR (Compound Annual Growth Rate) | Total Return |
| 1 | Nvidia | 1999 | $5,138,780 | 39% | 513,778% |
| 2 | Amazon | 1997 | $3,077,600 | 33% | 307,660% |
| 3 | Netflix | 2002 | $850,890 | 34% | 84,989% |
| 4 | Tesla | 2010 | $283,080 | 46% | 28,208% |
| 5 | Broadcom | 2009 | $266,210 | 42% | 26,521% |
| 6 | Mastercard | 2006 | $139,790 | 30% | 13,879% |
| 7 | 2004 | $123,230 | 26% | 12,223% | |
| 8 | Visa | 2008 | $25,490 | 21% | 2,449% |
| 9 | Meta | 2012 | $22,460 | 27% | 2,146% |
| 10 | Palantir | 2020 | $18,710 | 80% | 1,771% |
The compound annual growth rate (CAGR) measures the mean annual growth of an investment over a period of time.
Anyone wise enough to snap up Nvidia shares at their $12 IPO would have watched a $1,000 investment soar to $5,138,780, delivering a total return of 513,778%. Amazon’s early investors who got their shares at $18 would have turned the same $1,000 into an impressive $3,077,600, as the company’s value increased by 307,660%.
Meanwhile, IPO investors in Netflix would have seen their initial $1,000 grow to a mind-blowing $850,890.
Tesla and Broadcom round out the top five most valuable investments at IPO, delivering remarkable returns of 28,208% and 26,521%, respectively. A $1,000 stake in Tesla at its IPO would have ballooned to around $283,080, while the same initial investment in Broadcom would now be worth approximately $266,210.
Investing in IPOs: is it a good idea?
Adam Nasli, Head Broker Analyst at BrokerChooser, says that while due diligence is essential, historical data show that IPO outcomes largely depend on whether investors gain access to shares at the offer price – an outcome often beyond retail investors’ control. In this context, choosing the right broker is a necessary starting point, but never a guarantee.
Nasli tells Digital Journal: “Thorough due diligence is the absolute minimum when considering an IPO: investors need to understand the business model, industry dynamics, financial consistency, governance, use of proceeds and the risks disclosed in the prospectus. That homework helps filter out structurally weak deals, but it doesn’t change the core feature of IPO investing: outcomes are skewed and a small number of outsized winners drive the headlines.”
Nasli adds: “IPO participation can still make sense because investors who receive allocations at the offer price may benefit from the first-day uplift, while a small minority of companies go on to become long-term compounders. However, most retail investors do not receive allocations and can only buy once trading begins, when prices are often volatile and may already reflect that initial surge.”
As to failure or success., Nasli unveils: “Long-run evidence highlights the risks. Among U.S. IPOs between 1975 and 2020 – excluding penny stocks and special structures – around four in ten delivered losses of 50% or more within five years, and roughly six in ten failed to generate a positive return over that period. Even among companies with yearly sales figures exceeding $100 million that went public in the same period, more than four out of ten still produced negative outcomes.”
