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Google's 2013 revenue is 20x greater than Chipotle (~$60 vs ~$3.2 billion). To insinuate that Chipotle's higher P/E ratio says something about fast food vs tec
by jhonovich 12y ago
Google's 2013 revenue is 20x greater than Chipotle (~$60 vs ~$3.2 billion).
To insinuate that Chipotle's higher P/E ratio says something about fast food vs tech is silly. It's because Chipotle is so much smaller than Google that it's easier for Chipotle to increase revenue than Google.
In 2004, Google had about the same revenue as Chipotle did in 2013 but a P/E ratio of ~100, far higher than Chipotle does today.
- adventured 12y agoIt's like their mind being blown that Rackspace has a 60 pe ratio, or that Amazon and Twitter and LinkedIn have roughly infinite (or negative) pe ratios - and then concluding that must mean investors love the 7th place (?) cloud provider more than Google, and a profitless social network business model more than Google's ad + search monopoly. It's an intentionally bogus conclusion meant to do nothing but set up an article.