Chime Financial IPO: Digital banking service sets target stock price as Nasdaq listing date nears

Ding, ding, ding! Chime Financial is finally ready to go public.

The 13-year-old digital banking services company has set a target valuation of $11.2 billion for its highly anticipated initial public offering (IPO), according to a filing Monday with the Securities and Exchange Commission (SEC).

That would amount to raising roughly $832 million while offering 32 million shares, priced between $24 and $26. Per Chime’s S-1 statement, the company says it has 8.6 million active members and generates $251 in revenue per active member, on average.

San Francisco-based Chime intends to list its stock on the Nasdaq and trade under the ticker “CHYM.” It has not announced a listing date.

Notably, the $11.2 billion valuation is a sizable fall from the $25 billion ceiling Chime hit after a $750 million funding round in 2021—a time when many fintech companies were riding high due to the pandemic.

However, it also recently disclosed that its 2024 revenue was on an uptick, hitting $1.67 billion, up from $1.28 billion a year earlier. At the same time, its net losses have narrowed during that period, from $203.2 million in 2023 to $25.3 million last year.

Fast Company reached out to Chime for additional comment, but the company declined.

Getting into the ring

Chime’s IPO has been a long time coming and is expected to be one of the most anticipated offerings of the year.

Digital banking services from non-banks and so-called “digital challenger banks” are no longer a niche offering, according to a recent analysis from Deloitte. The report said consumers had registered some $98 billion in global digital deposits as of 2023, even as many of the new entrants offering such services are not yet turning a profit.

Fintech companies have also hit stumbling blocks after getting a big boost in interest from consumers during the pandemic, and that’s caused some companies in the space to put their IPO plans on ice. Perhaps most recently was Swedish fintech company Klarna, which reportedly paused its IPO plans in early April.

Turmoil caused by the Trump administration’s tariff regime and erratic trade policies has also thrown the IPO market off its axis, but there are signs that activity could be ramping up once again. Data from Renaissance Capital shows that year-to-date, 100 IPOs have been filed—an increase of 19% from last year—and that 81 have priced, an increase of 40%. 

In addition to Chime, some other anticipated IPOs that could happen this year include StubHub, Discord, Liquid Death, Panera, SpaceX, and Shein.