Bolt announces layoffs • Hacker News Board

Re: Bolt announces layoffs

#561

Post by silentsea90 » Mon, May 30, 2022, 1:29 AM UTC

upupandup wrote: post #142

beambot wrote: post #107

Earlier quoted context omitted.

20x Price-to-Sales (P/S) multiple on trailing-twelve-month (TTM) revenues is actually on high-end of of sub-$20B SaaS right now -- it's just the new reality. Examples from public markets: Cloudflare ($NET) TTM revenue is $0.73B and $16.9B marketcap (23x P/S). DocuSign ($DOCU) TTM revenue is $2.1B with $15.5B marketcap (7.3x P/S). UIPath ($PATH) TTM revenue is $0.9B with $9B marketcap (10x P/S). Okta ($OKTA) TTM reven…

> it's just the new reality I wonder whether they are prepared for the next reality where these multiples is no longer sustainable.

What basis do we have to claim that even this isn't sustainable? If anything, I expect steady state multiples to be higher

Re: Bolt announces layoffs

#562

Post by jjeaff » Thu, Jun 02, 2022, 11:34 PM UTC

kooshball wrote: post #530

hef19898 wrote: post #481

Earlier quoted context omitted.

I always wonder how much of the faibled 99% start-up failures are up to that attitude. Imagine to settle for 100 million exit, at maybe 2x, more often. Couldn't it be tgat VCs would ve more profitable? Serious question, bevause VCs are professionals in what they do and they definitely have a reason. A reason that totally eludes me.

the answer is no probably not. VC for tech startup exist because of economy of scale of tech and is ruled by power law. one winner that returns 100x is much more important than a handful that return 2x. to be clear most VC funds are not actually able to do that.

They would have to adjust their strategy and be more selective in the companies they invest in. And they of course know that they aren't actually very good at picking winners, so that strategy is out.

Re: Bolt announces layoffs

#563

Post by wordnerd2022 » Fri, Jun 03, 2022, 1:47 AM UTC

pbreit wrote: post #383

wordnerd2022 wrote: post #210

Earlier quoted context omitted.

Uber does not have a hiring freeze

"Uber freezes most hiring" https://www.businessinsider.com/uber-freezes-most-hiring-ceo...

Headlines are sometimes wrong :)

Re: Bolt announces layoffs

#564

Post by FooBarBizBazz » Mon, Jun 06, 2022, 2:59 PM UTC

puranjay wrote: post #141

FooBarBizBazz wrote: post #134

Earlier quoted context omitted.

I don't think VC-backed startups typically do stock buybacks? That's more of a Fortune 500 thing, AFAIK. "Startups" (of whatever size) are always concerned about the next funding round; I don't think they're going to burn runway to prop up the share price. It's companies like GE and IBM that do that, AFAIK.

I was referring to the OP’s comment that established publicly traded tech companies too will be under pressure to keep the stock price up and thus, aren’t immune to layoffs

I see. You have a point there. That would cement, in my mind, their transition from "growth" to "utility" companies, though, and I would expect them to start paying dividends.