|New Threads Only:|
|New Threads & Replies:|
Forum List » Guru News and Commentaries|
Guru News, Stock picks and commentaries
Value Investing Professor Damodaran Weighs In on Twitter's Intrinsic Value
Posted by: Canadian Value (IP Logged)
Date: October 8, 2013 04:54PM
Professor Damodaran estimates that Twitter's intrinsic value is roughly $10 billion.
He thinks to justify that valuation Twitter needs to generate about $12 billion in revenue in a decade.
In reading the S-1 filing that goes along with the pending IPO Damodaran was surprised how much Twitter was spending in order to achieve the growth it is experiencing.
He thinks that spending is something Twitter investors will have to keep their eye on.
He would buy Twitter if the stock price resulted in roughly a $6 billion market cap.
Stocks Discussed: SPY, DJI, QQQ,
Disclaimers: GuruFocus.com is not operated by a broker, a dealer, or a registered investment adviser. Under no circumstances does any information posted on GuruFocus.com represent a recommendation to buy or sell a security. The information on this site, and in its related newsletters, is not intended to be, nor does it constitute, investment advice or recommendations. The gurus may buy and sell securities before and after any particular article and report and information herein is published, with respect to the securities discussed in any article and report posted herein. In no event shall GuruFocus.com be liable to any member, guest or third party for any damages of any kind arising out of the use of any content or other material published or available on GuruFocus.com, or relating to the use of, or inability to use, GuruFocus.com or any content, including, without limitation, any investment losses, lost profits, lost opportunity, special, incidental, indirect, consequential or punitive damages. Past performance is a poor indicator of future performance. The information on this site, and in its related newsletters, is not intended to be, nor does it constitute, investment advice or recommendations. The information on this site is in no way guaranteed for completeness, accuracy or in any other way. The gurus listed in this website are not affiliated with GuruFocus.com, LLC. Stock quotes provided by InterActive Data. Fundamental company data provided by Morningstar, updated daily.