Oura files for US IPO with $16 billion valuation target

Oura, the maker of the popular smart ring, has formally filed with the US Securities and Exchange Commission to go public, revealing a significant acceleration in its financial performance. The filing indicates that the company’s revenue surged to $1.2 billion for the nine-month period ending 30 June this year, a substantial increase from $697 million in the same period last year. This trajectory aligns with the company’s earlier public statements, which projected revenue of roughly $1 billion for 2025 and close to $2 billion for the current year.

The company, which was founded in Finland in 2013, reports that it has sold 3.6 million rings over the past year and currently maintains approximately 5 million paid members. These subscribers pay for access to broader health metrics through the Oura app. The filing highlights the company’s strong customer loyalty, noting an approximately 85% weighted-average 12-month membership retention rate. This means that roughly 85% of members who sign up in a given month remain subscribed a year later.

Oura is positioning its product as an “always-on health intelligence platform” rather than a simple fitness tracker. The rings, which retail for between $350 and $400, measure a range of biometrics including metabolism, heart rate, stress levels, and sleep patterns. In its filing, Oura argues that its opportunity extends beyond traditional wearable use cases, aiming to support larger populations by building clinical evidence and deepening integrations with health plans, employers, and care providers.

A central pillar of this strategy is the company’s data advantage. Oura states it has amassed one of the largest longitudinal biometric datasets in consumer health, representing nearly 42 billion hours of physiological data and tracking over 50 health and wellness metrics. The company claims this dataset powers its artificial intelligence and machine-learning models, which improve in accuracy and predictive capability as member histories deepen.

The public offering is expected to be a major event in the tech sector. Reports indicate Oura is looking to raise $3 billion, with Bloomberg previously reporting the company is seeking a valuation of $16 billion. This represents a significant jump from its valuation of around $11 billion in October of last year. The company had confidentially filed for an IPO in May, making this public filing a key step in its capital markets journey.

Despite the strong financials, the company faces legal headwinds. A proposed class action lawsuit alleges that Oura’s sleep tracking capabilities are misleading, claiming the rings rely on AI-generated estimates rather than detecting specific physiological signals. The complaint describes the accuracy as little more reliable than a coin flip, a claim Oura has disputed, stating it will defend against the allegations in the appropriate legal forum.