Nasdaq CEO Flags Modest Softening in IPO Market as Listings Fall to 167

Nasdaq beat third quarter estimates on Thursday, October 22, 2026, and its chief executive used the earnings call to warn that the market for new listings has cooled in recent weeks.

A softer window for debuts

Chief executive Adena Friedman said the initial public offering market has softened modestly after a wave of macroeconomic turbulence forced several high profile companies to slam the brakes on their debuts. Executives in specific sectors are re-evaluating the timing of their IPOs, she said, while the long term pipeline remains robust.

Total new listings at Nasdaq fell to 167 in the third quarter, down from 205 a year earlier, Reuters reported. In September, wearable health technology firm Oura postponed its planned Nasdaq debut, citing volatile market conditions, and nuclear equipment maker Holtec Nuclear withdrew its planned US IPO.

Reuters linked the chill to escalating conflicts in the Middle East, a wartime energy shock, renewed inflation fears and a Federal Reserve rate hike, with the 30-year Treasury yield near two decade highs raising the cost of capital for new issuers.

The earnings themselves were strong. Nasdaq reported diluted earnings of $1.04 a share, up 19 percent, on net revenue of $1.5 billion, up 14 percent from a year earlier. Solutions revenue rose 18 percent and annualised recurring revenue grew 14 percent to $3.4 billion. The index business took in a record $141 billion in net inflows over the last 12 months, including $49 billion in the quarter.

Nasdaq returned nearly $500 million to shareholders through dividends and buybacks in the quarter and has repurchased $1.2 billion of stock in the first three quarters of the year.

On listings, Nasdaq said it holds a 74 percent win rate so far this year, including 56 new operating company listings that raised a total of $144 billion. Hilton plans to transfer its stock listing to Nasdaq in early November. In Europe, the exchange welcomed eight new operating companies in the Nordic market, including IQM Quantum Computers, the largest European listing by market capitalisation in the quarter.

The data and index side kept growing. Enterprise licences rose 34 percent from a year earlier, the index business launched 32 new products in the quarter and 93 so far this year, and financial technology revenue rose 16 percent, with a record 18 percent rise in recurring revenue for that segment.

The company also pointed to what comes next: a planned December launch of 23/5 trading, the Level ATS acquisition, and a Nasdaq equity token planned for the first half of 2027.

Matt Kennedy, senior strategist at Renaissance Capital, told Reuters that unless AI enthusiasm comes roaring back, a big rebound to close out 2026 is unlikely, and that more companies are penciling in 2027. At this point, he said, the 2026 IPO market revolves around Anthropic and the biotech sector.

Nasdaq shares were up 6.7 percent in morning trading on Thursday after the results.