novatech
msg:1235704 | 10:54 am on Mar 17, 2003 (gmt 0) |
Couldn't agree more with this point. On the other hand though, does the fact that generally tech stocks are undervalued mean that if Google *does* float, it's stock will be undervalued whatever the aspiring sentiment and therefore a great buy?
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vitaplease
msg:1235705 | 10:59 am on Mar 17, 2003 (gmt 0) |
| Given weak technology stock valuations, an IPO would offer a very unattractive cost of capital. Given the instability of the market, publicly traded Google stock serves as poor compensation for employees |
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1. Its not necessarily that Google needs money.
2. Google's investors and employees with stock-options would like to have a real market evaluation of their shares worth and a possible way out.
3. "a very unattractive cost of capital", if a Venture Capitalist wants to cash a part of his stake in Google, it is not a cost of capital to Google.
4. I think even in this stock market, Google's IPO PE will be sky-high.
5. I would not be suprised if they only float 10-20% of the shares.
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novatech
msg:1235706 | 1:40 pm on Mar 17, 2003 (gmt 0) |
Perhaps - but would the shares being issued at way over the real value not just cause another dot com mini-bubble?
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figment88
msg:1235707 | 3:42 pm on Mar 17, 2003 (gmt 0) |
If Google did become a public company, I don't think GoogleGuy would be allowed to make anymore substantive posts here.
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grifter
msg:1235708 | 3:55 pm on Mar 17, 2003 (gmt 0) |
UPS only floated 10% and raised 5 billion. Maybe Google can do the same.
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vitaplease
msg:1235709 | 3:57 pm on Mar 17, 2003 (gmt 0) |
| .. but would the shares being issued at way over the real value not just cause another dot com mini-bubble? |
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All depends on the expectations google gives. related thread: [webmasterworld.com...]
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Buckley
msg:1235710 | 4:32 pm on Mar 17, 2003 (gmt 0) |
figment88, If Google goes public Google Guy will be posting his messages from some exotic beach on some exotic island :)
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Tor
msg:1235711 | 2:10 pm on Mar 26, 2003 (gmt 0) |
Looks like Google is not [webmasterworld.com] going public after all...
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