Interesting exercise. One can nitpick some of the math and assumptions, but the message is directionally correct. The problem too many of these so called unico

Interesting exercise. One can nitpick some of the math and assumptions, but the message is directionally correct. The problem too many of these so called unicorns have is that there's not much in the way of real fundamentals supporting their lofty valuations. The valuation is largely based on hype. A lot of these companies valued at $1billion + may realistically only have a value of a few million based on their fundamentals. In once sense that doesn't matter. If you're an early investor in such a unicorn you only need to convince some sucker to buy your shares while the hype is still hot. However, one needs to be a total fool to not understand that in such a game the music always stops playing at some point and someone is left holding a bag full of worthless $#&!. The early players in this game have long since cashed out and are on a nice beach somewhere. The challenge for today's 'unicorns' is that they're starting to venture into nightmarish territory for businesses... i.e. massively overvalued without the fundamentals to stop a free fall. The number of recent tech IPOs where shares have plunged 50+% shortly after floating (or were forced into a recent big down round) are a strong sign that the market's tolerance for hype-based valuation is disappearing quickly. For those companies in that boat it's quickly going to become a game of put up or shut up. The solid business will survive but the rest will implode or be sold for pennies on the dollar in a fire sale down the line.