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Counterpoint: An IPO is a sale of equity. DoorDash and AirBnB wouldn't be going public if they really believed this rush to suburbs and smaller urban areas wer
by totalZero 6y ago
Counterpoint:
An IPO is a sale of equity. DoorDash and AirBnB wouldn't be going public if they really believed this rush to suburbs and smaller urban areas were sustainable and accretive to long-term profit.
Either the pandemic goes away and they go back to business as usual, or it doesn't and the economy gets a lot worse. In both cases, this moment is potentially the best it's gonna get for DoorDash and AirBnB, and an IPO is a way to hedge against that.
- cjbenedikt 6y agoCounterpoint to the counterpoint: Door Dash and Airbnb realized that things won't improve so their management and investor decide it may be better to cash out now and leave the little guy holding the can...just saying
- totalZero 6y agoThat's kind of my (counter)point.
- jariel 6y agoNo, it's a good time for an IPO as markets have a longer term view of things (rationally or otherwise). Investors see AirBnB is very viable, they know the pandemic will pass. AirBnB and DoorDash are in completely different scenarios: one has massive labour force issues, the other is a digital service, the pandemic has nearly killed AirBnB while it's been a boon for DoorDash. AirBnB is pushing through with a regularly planned IPO, DoorDash is probably being more opportunistic.