The idea is that ridesharing is still early on in the monetization/profitability/growth curve. Right now, its possible to value online advertising companies (go

The idea is that ridesharing is still early on in the monetization/profitability/growth curve. Right now, its possible to value online advertising companies (google, fb, linkedin before acquisition etc) based on some multiples of revenue and growth. What those multiples are fairly well agreed upon and relatively static. The argument above is that the multiples are not well defined in the rideshare sector, and its hard to find a stable valuation for these companies based on that. As uber and lyft turn profitable-ish in the next 6 - 8 quarters and focus on revenue growth as opposed to purely gross bookings growth as well as stemming losses, the multiples these companies are valued on are going to change a lot.