104 lines
3.3 KiB
Org Mode
104 lines
3.3 KiB
Org Mode
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#+title: Section 11 | Lesson 64 - how an IPO works
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#+HTML_HEAD: <link rel="stylesheet" type="text/css" href="../_share/media/css/org-media-sass/categories/business.css" />
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#+OPTIONS: H:6
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* Links
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- [[./../mba-main.org][TOC | Business]]
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- [[https://www.udemy.com/course/an-entire-mba-in-1-courseaward-winning-business-school-prof/learn/lecture/4315046#overview][S12:L64 course video]]
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* notes
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** Mary Meeker – Internet Trends Report
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Mary Meeker, formerly a partner at Kleiner Perkins, is known for publishing the Internet Trends Report, one of the most influential annual reports on internet usage, the digital economy, and technology adoption.
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*** Key Facts
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- Report Name: Internet Trends Report (also known as Meeker Report)
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- Published: Annually, starting in the mid-1990s
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- Content includes:
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- Global internet usage
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- Mobile trends
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- Digital advertising
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- E-commerce
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- Social media growth
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- Emerging technologies such as AI, cloud computing, and voice interfaces
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- Originally released by: Kleiner Perkins
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- Later reports released by: Bond Capital (Meeker's own VC firm, after leaving Kleiner Perkins in 2018)
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** how to value companies without revenue
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- valuation for high tech companies without revenue is based on subscribers
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*** facebook vs instagram
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**** facebooks value for subscribers
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\begin{equation}
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\text{value per Subscriber} = \frac{\text{Facebook Market Cap}}{\text{Facebook Users (Subscribers)}}
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\end{equation}
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\begin{equation}
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\text{value per Subscriber} = \frac{\text{\$231,000,000,000}}{\text{1.4 billion subs}}
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\end{equation}
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\begin{equation}
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\text{value per Subscriber} = \text{\$165 per subscriber}
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\end{equation}
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**** instagram value for subscribers
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\begin{equation}
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\text{value per subscriber} = \frac{\text{instagram acquisition price}}{\text{instagram subs}}
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\end{equation}
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\begin{equation}
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\text{value per Subscriber} = \frac{\text{\$1,000,000,000}}{\text{100,000,000 subs}}
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\end{equation}
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\begin{equation}
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\text{value per Subscriber} = \text{\$10 per subscriber}
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\end{equation}
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*** whatsapp
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- facebook is mostly first world companies
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- whatsapp has penetration in third world
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- facebook messenger sucks ass
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**** change in growth rates
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- facebook was losing subscribers
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- whatsapp was growing
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**** subscriber value
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- number of subscribers :: 700,000,000
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- price bought :: 20bn
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- price / subscriber :: 28$
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** valuation methods depend on the industry
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*** short term drivers based on company
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| industry | driver |
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|--------------------+-------------------|
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| consumer tech | subscribers |
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| enterprise tech | revenue |
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| semiconducter tech | earnings |
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| hotels | revpar |
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| industrials | earnings & volume |
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| telecommnications | arpu |
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| retail | earnings & SSS |
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| biotech | FDA approval |
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**** definitions
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- revpar :: revenue per available room
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- arpu :: average revenue per users
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- sss :: same store sales
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**** notes
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- same store sales
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- investors want to see that the individual stores grow organically
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- e.g. mcdonalods started staying open all day, and profits skyrocketed
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- fda approval is necessary for biotech
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- no approval no profit
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- once you get it, it's printing money
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- stocks go up or down a ton depending on approval
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*** long term drivers
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earnings and cash flow
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