Why these recent health tech IPOs matter

Author

Lauren Curtis
June 26, 2025

Hey Health Techies!

After a three-year IPO drought in digital health, two major players—Hinge Health and Omada Health— have gone public this year. And while these launches didn’t come with 2021-sized hype, that’s exactly what makes them worth watching.

This isn’t a return to sky-high valuations and out of touch predictions. But is a signal of what matters now. What’s working in healthcare, even amidst all the things that clearly aren’t.

Let’s break it down.

🦴 Hinge Health

Hinge Health, known for its virtual musculoskeletal (MSK) care platform, debuted on the New York Stock Exchange (NYSE) in late May under the ticker HNGE.

Hinge has built a profitable business with real revenue ($390M in 2024, up 33% YoY) and clinical outcomes to match. It uses sensors and computer vision to guide physical therapy remotely, showing reductions in surgery and pain levels across employer populations. In Q1 of this year, it crossed into profitability with over $17M in net income.

Hinge proves that profitability is possible in healthcare startups.

🫀 Omada Health

A few weeks later, Omada Health made its public debut, raising $150M and opening at a valuation close to $1.1B. Omada focuses on virtual care for chronic conditions like diabetes, hypertension, and obesity. But what sets it apart from many in the space is its commitment to evidence-based care.

Omada has deliberately avoided the “just add AI” trend. Even its recent AI-powered nutrition tool, OmadaSpark, is framed as a clinical co-pilot—not a replacement (a stance that I know my readers appreciate). I mean…this should be standard right? Anyway, this balance of innovation and integrity is resonating with the folks in healthcare who hold the pursestrings, especially as health plans and employers look for scalable solutions that don’t sacrifice quality and don’t overpromise what AI can deliver.

💡 Why this matters for you (and the industry)

These IPOs aren’t just about the two companies getting listed. They’re about the return of investor confidence in health tech. The era of growth-at-all-costs is over. What’s rising in its place are companies with:

  • Clinical validation

  • Scalable enterprise partnerships (I talk about this trend more in this issue from the archive)

  • Thoughtful solutions that solve real problems

  • And yes, profit

For clinicians watching from the sidelines, this is a turning point. The companies that are winning now need people who understand patient care and can help bridge the gap between tech and care delivery. These IPOs are proof that the industry isn’t shrinking. It’s maturing. And it needs your voice more than ever.

👀 What to watch next

  • Will others in the space like Sword Health or Maven follow suit?

  • Will we see a permanent push in digital health toward stronger outcomes and better business models?

  • How will companies leverage clinicians like you even more to help deliver on their missions?

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Until next time,

Lauren

P.S. I’ve been working behind the scenes on something new — an opportunity for us to learn and connect as a clinical community on all things health tech and tech careers. If you want to be the first to hear all the details, hop on the priority notification list 😉