Many a slip between the cup & the lip: From forward value to value per share today
aswathdamodaran.substack.com
Valuing young, growth companies is never easy to do but it is well worth doing, partly because it forces you think through the business that the firm is in and what it is doing (or needs to do) to succeed. I know that many of you disagreed with my assumptions on the Tesla valuation and this post is not meant to refight that battle. There is one aspect of the Tesla valuation that I would like to focus on, not so much because of what it says about Tesla but for the more general lessons about what drives the value per share at young companies.
Many a slip between the cup & the lip: From forward value to value per share today
Many a slip between the cup & the lip: From…
Many a slip between the cup & the lip: From forward value to value per share today
Valuing young, growth companies is never easy to do but it is well worth doing, partly because it forces you think through the business that the firm is in and what it is doing (or needs to do) to succeed. I know that many of you disagreed with my assumptions on the Tesla valuation and this post is not meant to refight that battle. There is one aspect of the Tesla valuation that I would like to focus on, not so much because of what it says about Tesla but for the more general lessons about what drives the value per share at young companies.