Potential investors are expressing strong reservations about Anthropic’s planned November initial public offering, questioning whether the company can begin its roadshow on schedule and whether the $1.5 trillion valuation under discussion is justified. Four sources familiar with the negotiations told Reuters that investors are seeking a more attractive price point and clearer revenue data before committing capital.

Valuation gap fuels skepticism

According to the Wall Street Journal, at least one prospective backer suggested that a realistic pricing range would be closer to $1 trillion, far below the $1.5 trillion figure currently being floated. Another investor reportedly believes the fundraising target could be cut to roughly $80 billion from the earlier plan of up to $100 billion. The sentiment reflects a broader “buyers’ strike” in tech, as noted by Keith Lerner, chief investment officer at Truist Advisory Services, who said tech stocks have underperformed the S&P 500 by 10.7% over the past month – the widest monthly gap since May 2002.

Missing October revenue raises concerns

Anthropic’s amended Form S‑1 left the October revenue figure blank, a detail that investors said is essential for assessing whether the company’s growth trajectory has rebounded. The filing did disclose third‑quarter revenue of $17 billion, representing a 46.7% increase from the prior quarter but a slowdown from a 144.2% jump the quarter before that. Analysts also highlighted the company’s continued losses – a net loss of $104 billion through September, compared with $25.1 billion a year earlier, and a third‑quarter loss of $23.29 billion.

Cash cushion gives Anthropic flexibility

Anthropic reported $146.6 billion in cash as of September 30, according to the filing. This substantial reserve provides the firm with the ability to postpone or downsize the offering without jeopardizing operations. Executives and advisers are reportedly set to meet in the coming days to review the IPO plan in light of the market environment, which was shaken by a $2.5 trillion drop in Nasdaq Composite value on Thursday.

What to watch next

Key indicators to monitor include any revised valuation guidance from Anthropic, the release of the missing October revenue number, and the timing of the roadshow relative to the broader tech‑stock recovery. Additionally, political developments surrounding AI regulation – such as statements from Representative Yassamin Ansari calling for a pause on advanced AI – could influence institutional appetite for AI‑related listings.