Re:Gitlab from YC to IPO
by isthis129283 on Thursday October 14, 2021 @11:15AM
(#28865446)
First 6 months of this year Gitlab took in $108M in revenue, and had $177M in expenses. Would you pay $10B to own a company that loses $10M/month, with the hopes they will continue to increase revenue in the future and become profitable?
[ Parent
| on HN ]
In the 6 months before their IPO - Square had net revenue of $200 million and expenses of $260 million, also losing $10M/month. Would you have paid $3 billion in 2015 to own that business?
If you had you would've had a 30x return today... (current market cap is ~$112 billion).
Re:Gitlab from YC to IPO
by user5994461 on Thursday October 14, 2021 @03:39PM
(#28868961)
The large majority of the 30x return was over the past 2 years with the pandemic, which is not going to happen for Gitlab.
God forbids if you bought square long ago and didn't hold long enough, they had multiple years of ups and downs.
Re:Gitlab from YC to IPO
by alangibson on Thursday October 14, 2021 @11:26AM
(#28865613)
Personally I'd buy an aircraft carrier if I had $10B. Nevertheless, there are plenty of people willing to put it in Gitlab or they wouldn't IPO. A better question might have been: what's the bull argument for Gitlab?
Re:Gitlab from YC to IPO
by IggleSniggle on Thursday October 14, 2021 @01:45PM
(#28867497)
The usage argument is: buy your own "self-hosted" cloud offering, deployed over any combination of AWS/Azure/GCP/onprem that you like.
The bull argument probably looks something like: replace Microsoft Office 365 / Azure with an integrated "self-hosted" solution, easily deployed to any commoditized compute...handled by GitLab for paying customers, assurances of "escape hatch" to DIY open-source when you stop paying.
Re:Gitlab from YC to IPO
by byethewater on Friday October 15, 2021 @12:07AM
(#28874173)
There’s a Forbes article on the GitLab valuation which could be interesting to this thread: https://www.forbes.com/sites/greatspeculations/2021/10/12/gi...