points by extraextra 3 days ago | 0 comments
If only it was that simple, to switch multiples around between random companies and come up with valuations
Google was profitable, free cash flow positive and had no debts basically
Anthropic is burning money by the millisecond, no profits, free cash flow negative and has lots of debts & commitments
[–] ygghutttff 3 days ago
[–] JumpCrisscross 3 days ago
Is there an internet rule for folks asking if someone else knows something following it with a completely wrong definition of that thing?
[–] solyin 2 days ago
It happens so often that it's an Internet meme with its own subreddit by this point.
No You're Thinking Of.
Comparables are not by peer group or sector.
It’s cash flows, growth and risk bud. If you want to do peer group - go ahead - just don’t forget to control for differences..
Price to sales multiples are internally inconsistent by definition.