Warner Music to lead a hot IPO season

The label is the home to such artists as Cardi B, Ed Sheeran and Bruno Mars

The U.S. market for initial public offerings is expected to heat up, making for a hot summer for new issues.

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That is the opinion of Kathleen Smith founding principal of Renaissance Capital.

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Smiith says this is the right time to look at the new offerings, because following the market downturn, the companies will be priced better and will be fundamentally strong.

Warner Music Group will hit the market next week as the largest U.S. IPO of the year.

The company is looking to sell about 70 million shares priced between $23 -$26 per share, which if priced at the top end of the range would give the company a value of more than $13 billion. Shares will trade on the Nasdaq.

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The label is the home to such artists as Cardi B, Ed Sheeran and Bruno Mars.

"That company is growing because of its streaming revenue. Finally the record label companies are benefiting from that," said Smith in an interview on FOX Business. " It's one of the top record labels. I think investors are going to receive that IPO well. They're expecting 10 percent growth and steady business."

Smith expects a hot summer for IPOs overall because of the election ahead. Market tends to go quiet when election campaigns ramp up because of risk associated with it.

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Smith says there will be a lot of choices and it will be a buyers market.