Wall Street Snaps Up Netskope's $908M IPO--Is the Cybersecurity Boom Just Getting Started?

Netskope's NNTSK debut on the Nasdaq could be a turning point for the U.S. IPO market. The Santa Clara-based cybersecurity company raised $908.2 million, selling 47.8 million shares at $19 apiece, right at the top of its revised price range. That pricing gives the firm a market value of $7.26 billion, slightly below the $7.5 billion level it commanded in a 2021 funding round led by ICONIQ. The offering lands against a backdrop of renewed appetite for IPOs, as investors appear more comfortable stepping back into new listings following a slowdown earlier this year tied to President Donald Trump's tariff policies.

The timing may prove significant. Netskope's move comes during a week packed with fresh debuts, including StubHub SSTUB, which began trading on the New York Stock Exchange in one of the more closely watched consumer names to hit the tape. The broader wave spanning crypto, fintech, biotech, and even consumer plays like coffee shops suggests pent-up demand is resurfacing. A string of stronger-than-expected debuts in recent weeks could be helping restore confidence in a market that had been hesitant to take risks on new issues earlier in the year.

For Netskope, the IPO marks a critical step in scaling its cloud-based security business. Founded in 2012, the company helps enterprises defend data, apps, and networks from cyberattacks an area that is taking up a larger slice of corporate IT budgets. Financials point to improving leverage: the company reported a $170 million net loss on $328 million in revenue in the six months ended July 31, an improvement from a $207 million loss on $251 million a year earlier. With Morgan Stanley and J.P. Morgan leading the deal, Netskope will trade under the ticker NTSK, adding another name to the growing roster of cybersecurity players positioning for long-term growth.