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Ask HN: Why is Peleton worth over 20B Dollars?
Pelleton's market cap is currently at about 25 Billion Dollars.
That is about the market cap of Ford (currently 27 Billion).
Peletons revenue will be about $2B this year.
Fords revenue will be about $150B this year.
What is the market seeing as Peleton's future that it values Peleton at $25B?
- maxharris 6y agoGoogle "Fed Put"
- coldtea 6y ago>What is the market seeing as Peleton's future that it values Peleton at $25B? The stock market doesn't care about Peleton's future in general. It cares about Peleton stock's short/mid term future. The valuation basically is about how desirable the stock is and how well the stock is expected to do - doesn't have to be connected with actual Peleton performance, hype will do just as well, if it raises the stock price. And indeed, it has already brought the cap to 25B, so it works!
- onion2k 6y agoWhat is the market seeing as Peleton's future that it values Peleton at $25B? The valuation is based on the idea that they'll become the Apple of the home exercise market - aspirational, affordable-luxury products with additional services for monthly fees.