Analysts say the sputtering IPO market may finally take off in 2024—giving a boost to M&A dealmakers and to general counsel hoping to put gold stars on their resumes.

While 2023 saw some marquee initial public offerings, with the personal shopper service Instacart going public in September and chip designer Arm debuting the following month, analysts forecast interest-rate reductions next year, creating a favorable investment environment that’s likely to entice IPO candidates off the sidelines.