Stripe valuation soars to $95B after latest fundraising

Post by aliyfarah » Mon, Mar 15, 2021, 12:23 AM UTC

buro9 wrote: post #29

manishsharan wrote: post #22

Earlier quoted context omitted.

Think of it this way: there is no opportunity for an new entrant into this market almost globally. Stripe's fee is low enough and its API is super easy to use and the brand is well loved by most ecommerce companies. A new entrant will have to go up against this enormous amount of goodwill that Stripe has accumulated. The only danger to Stripe is if a major bank decides to get into this space. I work for a major bank…

Disagree. Every ecommerce company and retailer looks at payment fees as money left on the table. The more money Stripe take on, the more they need to return to investors, and so the more pressure to make margin. That is the opportunity for the future. I too doubt it would come from a bank, nor from Visa and Mastercard... but could another exist? Yes! If it came from a big player, I'd be looking at Shopify.

Post by plumeria » Mon, Mar 15, 2021, 12:30 AM UTC

beaner wrote: post #45

sebmellen wrote: post #4

This certainly makes Stripe the most valuable private startup in the world. Where does Stripe rank among the world's most valuable private companies, though? It's easy to find lists of dubious quality like this: https://news.yahoo.com/10-most-valuable-private-companies-21... , but I'm sure there are more lurking. What are they?

Coinbase is still private and is valued at $100 B.

Post by TulliusCicero » Mon, Mar 15, 2021, 12:47 AM UTC

SMAAART wrote: post #24

missedthecue wrote: post #19

Is Stripe unprofitable? What kind of scale are they going to reach that will push them over the edge into the black that they haven't been able to reach at the vast scale they already have? If they are profitable, why go the expensive equity route rather than using retained earnings? Or bonds? American Airlines recently sold $10 billion of them at 5.5%. Surely Stripe could do just as well or better.

Payment is just the entry point; from there they are probably going to expand into other quasi-bank services; the first low-hanging fruit that comes to mind is Advance Loans secured by CC receivables; easy, popular and highly lucrative.

Post by nl » Mon, Mar 15, 2021, 12:56 AM UTC

missedthecue wrote: post #19

Is Stripe unprofitable? What kind of scale are they going to reach that will push them over the edge into the black that they haven't been able to reach at the vast scale they already have? If they are profitable, why go the expensive equity route rather than using retained earnings? Or bonds? American Airlines recently sold $10 billion of them at 5.5%. Surely Stripe could do just as well or better.

Post by AlchemistCamp » Mon, Mar 15, 2021, 1:07 AM UTC