Someone has this completely wrong.
Either the investors are right with their optimism paying 19X because analysts are completely wrong with the EPS downgrades.
If EPS rebounds sharply with the economy, the market will be back to the average 15X over the last decade.
Or…
— Tiho Brkan (@TihoBrkan) April 25, 2020
– Shopify was founded in 2004
– In 2012 Shopify lost $1.5M on revenue of $23.7M (6.4%)
– In 2019, $SHOP lost $124.8M on revenue $1.58B (7.9%)
-remarkably consistent economics… implies variable costs of 105-110% revenue.
– The current market cap is $75.5B
— Ataraxia Investments (@Ataraxia_Invest) April 24, 2020
Global money supply is soaring.
Central banks have been enablers of bubbles, and now any correction seems like a collapse even when valuations and bond prices remain elevated. pic.twitter.com/XC26Kcu18H
— Daniel Lacalle Official Account (@dlacalle_IA) April 25, 2020
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