Hot or Not acquired for 20 million

Re:Hot or Not acquired for 20 million by carpal on Monday February 11, 2008 @09:36PM (#113765)

3x revenue is pretty standard for businesses that aren't really growing anymore. Seems like a pretty solid deal to me.

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Re:Hot or Not acquired for 20 million by nostrademons on Tuesday February 12, 2008 @10:15AM (#114029)

Businesses that aren't growing anymore usually get valued based on earnings. The P/E of the S&P 500 is about 20 (perhaps a little less after the recent market turbulence), which means that HotOrNot's price would be about half the average publicly-traded corporation, including all the old-line manufacturing businesses and companies in decline.

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Re:Hot or Not acquired for 20 million by carpal on Tuesday February 12, 2008 @12:28PM (#114136)

P/E ignores a lot of things, too. Old-line manufacturing businesses usually have a ton of assets (machinery, land, etc) that boost their valuations.

I doubt HotOrNot has much more than the brand name and domain, as far as assets are concerned.

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