Anthropic’s $1.4T AI IPO hits Wall Street, where buyers want a smaller model

Anthropic set a price range of $70 to $78 per share for its initial public offering, according to an updated filing with the Securities and Exchange Commission on Tuesday. The Claude developer plans to sell 825 million shares of Class A common stock, comprising 801.4 million new shares and 23.6 million shares from existing shareholders, on the Nasdaq Global Select Market under the ticker "ANT." Underwriters received an option to purchase another 123.75 million shares.

At the top of the range, the offering would generate about $64.4 billion, including shares sold by existing shareholders. Anthropic expects to price the IPO on November 18 and begin trading on November 19, with about 20% of the allocation reserved for retail investors. Based on approximately 13.09 billion shares outstanding after the offering, the range implies a market value of about $916 billion to $1.02 trillion. CNBC reported that Anthropic could be worth up to $1.405 trillion on a fully diluted basis, compared with the $965 billion valuation announced in a funding round in May.

Seven companies that supply Anthropic’s computing power have agreed to buy a combined $26 billion of Class N common stock, which carries no voting rights, at the IPO price. At the midpoint, Google and Nvidia would each buy about $10 billion, AMD about $2.5 billion, Broadcom, Micron and Microsoft about $1 billion each, and TSMC about $500 million. Those shares will not be subject to the usual post-IPO lock-up period. Anthropic expects combined net proceeds of about $84.6 billion from the IPO and private placement at the midpoint, earmarked for general corporate purposes, including compute and infrastructure investment.

The pricing follows investor resistance to earlier valuation discussions. Before the range was set, prospective investors considered figures between $1.2 trillion and $1.3 trillion, while one major investor suggested a valuation closer to $1 trillion. Other investors raised the possibility of raising around $80 billion rather than the previously discussed $100 billion, delaying the listing or reducing its size. “We are now seeing something of a buyers’ strike in tech,” Truist Advisory Services chief investment officer Keith Lerner said.

Anthropic reported revenue of $33.2 billion for the first nine months of 2026, up from $2.5 billion a year earlier, but recorded a net loss of $104 billion over the period. Most of that loss came from a $94.3 billion non-cash charge tied to rising values of convertible notes and other instruments, while its operating loss was $1.26 billion. The company has committed about $900.9 billion to spending, primarily on compute and infrastructure, with approximately $70.7 billion due within the next 12 months. In the crypto market, Ondo Finance said its platform will offer tokenized Anthropic share exposure on the IPO date, while Polymarket traders assigned a 71% chance to Anthropic going public before the end of 2026.