With a dizzying stock rally in December, things are looking up for consumer companies eyeing a public debut next year.

While 2023 brought a handful of large IPOs — such as Instacart (CART), Arm (ARM), Klaviyo (KVYO), Cava (CAVA), and Birkenstock (BIRK) — many of the stocks fell flat soon after taking the public stage.

This was a year for rebuilding, said Avery Spear, Renaissance Capital senior analyst, after the IPO market took a nosedive in 2022. Although 2023 didn’t yield the full recovery some expected, it laid the groundwork for a more robust 2024.

"It looks a lot brighter for the year ahead,” Spear said on a phone call with Yahoo Finance. "Starting in early 2024, through the rest of the year ... we are going to see a material takeoff in new issuance."

Right now, 2024’s IPO class is headlined by names like Reddit, Panera Brands, Shein, and Skims. When they make their big move will depend on a few factors, Vincent Harrison, a PitchBook VC analyst, told Yahoo Finance.

Given many of the names listed above are consumer-focused brands, consumer spending needs to remain "really strong," said Harrison.

A healthy consumer sentiment could push the companies to go public earlier, though shoppers have been battling headwinds all year, from high interest rates and housing costs to the return of student loan payments.

However, considering brands like Skims and Shein are not luxury focused, a slight tightening of the belt likely won’t be a big hit.

“I think we would probably have to be in a full-blown recession … before they would probably consider an IPO at some later date,” said Harrison.

The S&P 500’s (^GSPC) 24% run-up this year provides some positive momentum, while timing of the Fed rate cuts will play a role as well.

The Fed is not likely to cut rates until the second half of 2024, leaving investors and businesses in wait-and-see mode to start the year, said Harrison. Leadership will want to get a clear picture of where interest rates and inflation are trending before going full steam ahead.

"The second half of 2024 is where a lot of the action is going to take place," Harrison predicted.

For many of these retailers, investors have been waiting.

Chinese fashion e-commerce giant Shein has been weighing a US IPO for some time and has now filed confidentially. But lawmakers have been raising alarm about the company’s relationship with the Chinese government, data privacy practices and allegation of forced labor in its supply chain.

Kim Kardashian's Skims, valued at $4 billion in June, is also looking to take the next step in 2024.