Uber opens at $42 per share

Re:Uber opens at $42 per share by ip26 on Friday May 10, 2019 @05:18PM (#19882335)

Don't forget also, it's believed that "being profitable" = "you're done with hypergrowth", at which point the whole band of capital looking for 100x unicorns moves on.

Remaining unprofitable is a part of maintaining the illusion that the company has huge upside in the future.

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Re:Uber opens at $42 per share by atemerev on Friday May 10, 2019 @05:31PM (#19882434)

Yes, I suppose this is also correct. I just wanted to reiterate that with modern creative financing, a large company can stay “unprofitable” basically forever and still keep shareholders happy.

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Re:Uber opens at $42 per share by konschubert on Friday May 10, 2019 @05:51PM (#19882575)

The is only true as long as shareholders believe that the company gets a return on its investments.

If they believe it just destroys the money it keeps, they will start demanding a payout.

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