True (assuming the stock price doesen't crash immediately after the IPO) but still it's not really justifiable based on their current financial figures or futur

True (assuming the stock price doesen't crash immediately after the IPO) but still it's not really justifiable based on their current financial figures or future growth prospects. I'm not even sure what the valuation this valuation might even be based on (which admittedly applies to a bunch of other companies which actually end up doing quite well). They might conceivably be worth 100 P/E as an acquisition but an IPO would only make it less likely? $50-55 billion would mean that ARM is more overvalued than Nvidia and Nvidia actually has a realistic chance to grow into that valuation.