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You're telling me Amazon's financials were beautiful when they IPO'd? They're barely pretty now.

whatok 9y ago
Amazon IPOed at $438mm in 1997. Inflation adjusted that's $668mm. Snapchat's current market cap is $20bn. Not even in the same remote universe. https://www.cnet.com/news/amazon-com-ipo-skyrockets/ https://www.cnet.com/news/amazon-com-ipo-skyrockets/
- wonder_bread 9y ago
  So because Snap has a higher market cap means there's no excuse for the messy financials? Show me all the money Amazon was making when it was worth $20B.
  - mdorazio 9y ago
    Ok. Amazon's market cap first reached $20B in mid-2007. At that time they had about $475M in net profit on revenue of about $15B. Snapchat's total revenue for 2016 was $405M, with net loss of $514M. The two are not even remotely comparable in terms of financial soundness.
  - JumpCrisscross 9y ago
    > Show me all the money Amazon was making when it was worth $20B The last time Amazon was worth less than $20 billion was back in March of 2007 [1]. The month prior, they announced results for FYE 2016 [2]. That year, Amazon had net sales of $10.7 billion on which they made a profit of $190 million (page 47). Amazon's operations, meanwhile, produced over $700 million of cash from operations (page 46). Snap shows $150 million of Q1 2017 revenues. They managed to turn that into a $2.2 billion loss [3]. Next to that, the $150 million of cash their operations lost looks like chump change. (Snap incurred a $2 billion one-time non-cash expense in Q1, so the revenue and cash-from-operations numbers are better for comparison purposes.) Keep in mind, too, that $1 in March 2007 bought as much as $1.19 bought in March earlier this year [4]. [1] http://www.macrotrends.net/stocks/charts/AMZN/market-cap/amazon-inc-market-cap-history http://www.macrotrends.net/stocks/charts/AMZN/market-cap/ama... [2] https://www.sec.gov/Archives/edgar/data/1018724/000119312507034081/d10k.htm https://www.sec.gov/Archives/edgar/data/1018724/000119312507... [3] https://www.google.com/finance?q=NYSE%3ASNAP&fstype=ii&ei=f_tCWcGLEYasmgGgza2wCA https://www.google.com/finance?q=NYSE%3ASNAP&fstype=ii&ei=f_... [4] https://www.bls.gov/data/inflation_calculator.htm https://www.bls.gov/data/inflation_calculator.htm
    - acchow 9y ago
      > They managed to turn that into a $2.2 billion loss To be fair, a big chunk of that loss was due to many years worth of equity-based compensation (stock options) all booked at once.

Amazon IPOed at $438mm in 1997. Inflation adjusted that's $668mm. Snapchat's current market cap is $20bn. Not even in the same remote universe. https://www.cnet.com/news/amazon-com-ipo-skyrockets/ https://www.cnet.com/news/amazon-com-ipo-skyrockets/

wonder_bread 9y ago
So because Snap has a higher market cap means there's no excuse for the messy financials? Show me all the money Amazon was making when it was worth $20B.
- mdorazio 9y ago
  Ok. Amazon's market cap first reached $20B in mid-2007. At that time they had about $475M in net profit on revenue of about $15B. Snapchat's total revenue for 2016 was $405M, with net loss of $514M. The two are not even remotely comparable in terms of financial soundness.
- JumpCrisscross 9y ago
  > Show me all the money Amazon was making when it was worth $20B The last time Amazon was worth less than $20 billion was back in March of 2007 [1]. The month prior, they announced results for FYE 2016 [2]. That year, Amazon had net sales of $10.7 billion on which they made a profit of $190 million (page 47). Amazon's operations, meanwhile, produced over $700 million of cash from operations (page 46). Snap shows $150 million of Q1 2017 revenues. They managed to turn that into a $2.2 billion loss [3]. Next to that, the $150 million of cash their operations lost looks like chump change. (Snap incurred a $2 billion one-time non-cash expense in Q1, so the revenue and cash-from-operations numbers are better for comparison purposes.) Keep in mind, too, that $1 in March 2007 bought as much as $1.19 bought in March earlier this year [4]. [1] http://www.macrotrends.net/stocks/charts/AMZN/market-cap/amazon-inc-market-cap-history http://www.macrotrends.net/stocks/charts/AMZN/market-cap/ama... [2] https://www.sec.gov/Archives/edgar/data/1018724/000119312507034081/d10k.htm https://www.sec.gov/Archives/edgar/data/1018724/000119312507... [3] https://www.google.com/finance?q=NYSE%3ASNAP&fstype=ii&ei=f_tCWcGLEYasmgGgza2wCA https://www.google.com/finance?q=NYSE%3ASNAP&fstype=ii&ei=f_... [4] https://www.bls.gov/data/inflation_calculator.htm https://www.bls.gov/data/inflation_calculator.htm
  - acchow 9y ago
    > They managed to turn that into a $2.2 billion loss To be fair, a big chunk of that loss was due to many years worth of equity-based compensation (stock options) all booked at once.