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Anthropic IPO Valuation Could Be Slashed in Half to $1T After AI Stock Rout: Report
Anthropic’s planned IPO may be valued at about $1 trillion, half the $1.5 trillion target, as a sharp sell-off in AI stocks unsettles investors. The company had aimed to list on Nasdaq before Thanksgiving and raise up to $100 billion, but investors are questioning whether the timing and price remain realistic.
Three prospective investors told the Wall Street Journal that the valuation may need to fall; one estimated it could be nearer $1 trillion, while another said the company might raise around $80 billion. A delay is also possible as executives and advisers review the plans. The market downturn included a 6.3% fall in the Nasdaq 100 and a 9.2% drop in Nvidia; Anthropic reported an annualised revenue run rate above $80 billion at October’s end and $146.6 billion in cash at 30 September.
In short
- Investors doubt Anthropic can achieve its $1.5tn IPO valuation.
- A $1tn valuation and an $80bn raise are possible.
- A delay may depend on market conditions and October results.
Steelman: both sides, in good faith
The strongest fair case each way — we don't pick a winner.
The case for
A $1 trillion valuation could still recognise Anthropic’s rapid growth, more than $80 billion in annualised revenue and substantial cash reserves. Listing now could give the company access to capital for infrastructure and research, while allowing investors to participate in a leading AI business.
The case against
The recent sell-off in AI stocks suggests investors may be reassessing the sector’s growth assumptions and willingness to pay premium valuations. Pricing nearer $1 trillion, raising less, or delaying the listing could reduce the risk of an overpriced IPO and give the company time to demonstrate that its revenue growth can be sustained.
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