Lyft, Zoom and Pinterest all priced above their marketed range, while Uber is prepping for what will be this year’s biggest IPO, seeking a $100 billion price tag.
NYU Stern professor Aswath Damodaran believes their valuations are all too high.
“”All four are richly priced … I’m a little scared of Uber at $100 billion. I think both Lyft and Uber are struggling with a way to convert revenue growth into profits. So you are paying $100 billion for a company that still doesn’t have a viable business model. That’s scary,” Damodaran says.