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Yeah, if we assume they are at 20% profit margin like FAANG or other tech / finance companies, at $1B ARR, they are making $200M net income per year. At 30-40 P
by samspenc 2y ago
Yeah, if we assume they are at 20% profit margin like FAANG or other tech / finance companies, at $1B ARR, they are making $200M net income per year. At 30-40 PE, they would be valued at $6-8B max.
In reality, they are most likely losing money at this point like most startups, might take them a few years to hit profitability. But that doesn't seem to have stopped previous startups from commanding insane valuations, so maybe Wiz is able to do that too.