6 ms·
potential value Sorry but that makes me chuckle. If I had a nickle for all of the "potential value" calculations of now dead businesses, I'd have a lot of "ac
by josefresco 13y ago
potential value
Sorry but that makes me chuckle. If I had a nickle for all of the "potential value" calculations of now dead businesses, I'd have a lot of "actual value" in my bank account.
Are we so far removed from the last crash that potential value is still considered equal to actual cash money?
- akumen 13y agoThat's the thing. The value is not "potential" as it would have been when Twitter was still a startup. As of right now the company has an about 30B market cap ... as big as Raytheon, for example, and bigger than LinkedIn, Northrop Grumman Corporation, BEIERSDORF, Tesla and T-mobile.
- josefresco 13y agoShare price drops (which can happen for many reasons) and that market cap looks similarly foolish. Market cap is only as impressive as the product or services the company actually offers. The companies you list have real products for sale in mature markets. Twitter is still trying to figure out how to monetize effectively in a very fickle market (free social networking) .. I don't think Northrop Grumman is having trouble figuring out how to make money selling fighter jets.