Square Prices Its IPO at $9, giving it a $2.7B valuation
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Square Prices Its IPO at $9, giving it a $2.7B valuation
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Re: Square Prices Its IPO at $9, giving it a $2.7B valuation
#2Wow, that's priced at ~2.8x 2015 revenue. So low.
Re: Square Prices Its IPO at $9, giving it a $2.7B valuation
#3It's "$9", not "9$".
Re: Square Prices Its IPO at $9, giving it a $2.7B valuation
#4Wow, that's priced at ~2.8x 2015 revenue. So low.
Not going to go dig for the SEC filing, but transaction revenue is not something look at, as that is basically booking money they are moving on behalf of someone else. I would suggest looking at EBITA, fraud loss, avg transaction fee schedule and transaction number volume.
Re: Square Prices Its IPO at $9, giving it a $2.7B valuation
#5Why would they price it at such a low multiple of revenue? Massive liabilities or something?
Re: Square Prices Its IPO at $9, giving it a $2.7B valuation
#6With rumors about device to device payment talks[1], Square is in tough spot.
[1] http://www.wsj.com/articles/apple-in-talks-with-u-s-banks-to...
Re: Square Prices Its IPO at $9, giving it a $2.7B valuation
#7Why would they price it at such a low multiple of revenue? Massive liabilities or something?
No one feels like subsidizing more of Starbuck's' transaction costs?
Re: Square Prices Its IPO at $9, giving it a $2.7B valuation
#8> Square Prices Its IPO at 9$
Not a very helpful submission title. Without knowing the number of shares or previous share price, this is meaningless. The market capitalisation would be better. Including the previous projection better still.
Re: Square Prices Its IPO at $9, giving it a $2.7B valuation
#9According to crunchbase, they raised money at a $3.25B valuation in 2012.
If they are IPOing at $2.66B now, that means a lot of stock options granted in-between are going to be worthless, unless they were granted at some very different price...
Re: Square Prices Its IPO at $9, giving it a $2.7B valuation
#10According to crunchbase, they raised money at a $3.25B valuation in 2012. If they are IPOing at $2.66B now, that means a lot of stock options granted in-between are going to be worthless, unless they were granted at some very different price...
In my experience incentive stock options that companies give to employees normally are heavily discounted.