11–20 of 139 posts
Just when you thought bay area housing pries couldn't get any crazier, Uber files for IPO same week as Lyft.
So are these companies rushing to IPO before a 'potential' recession occurs? Does anyone else not feel confident about this? It seems fear driven and not very calculated. Maybe I'm missing the bigger picture..
Launching before a recession is more ideal than before as funding would be easier to secure from the public vs private institutions especially if they continue losing money at this rate.
So are these companies rushing to IPO before a 'potential' recession occurs? Does anyone else not feel confident about this? It seems fear driven and not very calculated. Maybe I'm missing the bigger picture..
I'd confidently state that I love capitalism, but I'm not very happy with the idea that Uber could turn 17 billion dollars into 7 billion dollars and then hand the bag to retail investors. The thing I tell myself is that the money is all going to the same place anyway. Yeah, Uber is going to cash out and bomb from their IPO price, and everyone who buys will lose. But anyone who would buy Uber is going to do any numbe…
Many Fidelity mutual funds managing assets of retail investors hold (private) Uber stock.
I'd confidently state that I love capitalism, but I'm not very happy with the idea that Uber could turn 17 billion dollars into 7 billion dollars and then hand the bag to retail investors. The thing I tell myself is that the money is all going to the same place anyway. Yeah, Uber is going to cash out and bomb from their IPO price, and everyone who buys will lose. But anyone who would buy Uber is going to do any numbe…
It’s the forced buy in by funds and pensions that I don’t like. Many are dictated by objective formulas like top N by market cap which may lead either Uber or Lyft to be included quite quickly. Biggest preventer for either may be the “four recent quarters of profitability” requirement. Depending on the IPO and crash timing, this could be a bad one.
Decades ago companies competed in being the first to bring the product to the market, so enough prospects would try theirs first and become loyal users. These days the competition is about being the first to sell your story to the retail investor before the hype cools down and people get disillusioned about the entire business model (see GRPN, SNAP, etc). I'm truly wondering how sustainable is this and how hard the m…
So are these companies rushing to IPO before a 'potential' recession occurs? Does anyone else not feel confident about this? It seems fear driven and not very calculated. Maybe I'm missing the bigger picture..
Decades ago companies competed in being the first to bring the product to the market, so enough prospects would try theirs first and become loyal users. These days the competition is about being the first to sell your story to the retail investor before the hype cools down and people get disillusioned about the entire business model (see GRPN, SNAP, etc). I'm truly wondering how sustainable is this and how hard the m…
My favorite thing about the public markets is that it doesn't matter how much hype a company garners on TechCrunch, where the founders went to school, or how slick the company office spaces are. A piece of shit is a piece of shit, and conversely, a diamond is a diamond. That's not to say that public companies can't run on hype--they absolutely can--but eventually hype wears off and a company must show that it's a rea…