6 ms·
I would be interested in seeing the list of tech companies this stat is based off of. 5.6 seems really low to me seeing that FB, zynga, linkedin are all valued
by utnick 13y ago
I would be interested in seeing the list of tech companies this stat is based off of. 5.6 seems really low to me seeing that FB, zynga, linkedin are all valued at hundreds of times sales.
Guessing these tech companies are not consumer software companies, but maybe hardware / manufacturing companies or something
- adventured 13y agoI posted a few examples above (Facebook has a 20), but Zynga actually isn't a good reference for a high number. It has a trailing four quarters sales to valuation ratio of 3 ($1b in sales, $3b in market cap). And despite Zynga's significant problems, they're sitting on $1.1b in cash stacked against that market value. If they're careful they can probably lose money for a decade and stick around. Other surprisingly low examples: Groupon (3), and Angie's List (their stock crashed recently, but it's now a 4).