Wondering what folks thought. https://techcrunch.com/2019/09/19/stripe-is-raising-another-250m-at-a-35b-pre-money-valuation/
Yes. Kicking myself not joining the company I'm 2011
You can still join now
Too late to make any f*#* you money
What am I missing? Why is Stripe worth more than Square?
Stripe makes money off it's small customers, who get charged a high fee. As those companies grow and gain leverage, Stripe has to cut the fees until they have no economic profit left. Aka, it's currently making money from all the early stage startups. Once the startups are gone or matured...
This is saying children clothing store won't survive once the kids grow older. By then there will be new startups.
You think there will be more startups than at the height of the silicon valley tech boom? I'm not optimistic about that. The valuation only makes any sense if you think their new business efforts are going to go really well... Which they might. It's definitely a very high risk investment at this price.
Stripe ... coinbase ... on the tags. Would you pay $1000 for a slice of pizza? No? Neither would I. I can smell a stupid buy from a mile away.
Irrational - no way they are worth more than adyen and certainly not 1.5x more
10 years ago, Who would have thought amazon would be worth 1Trillion dollars today?? You never what Stripe has planned in the near future 3-5 years from now.
If their revenue and profit align, then without breaking a sweat. Compare to PayPal and 🤮 Heartland Payment Systems/FirstData. The key will be winning ever larger customers starting by retaining the startups that grow. I don't think you understand what kind of garbage fire the ecosystem was before Stripe came. You would pay a fee to Authorize.net who was only a gateway, you would have 2 more parties and often middlemen and resellers, each taking a cut. Each was a high-touch sales call, lawyer for contract, etc.
They don't though, the revenue includes all the credit card processing fees. For all the larger customers, the cost of goods sold is pretty close to the revenue. With all those people on their payroll, I have a hard time seeing the retained earnings exceeding a few hundred million. They've executed well, but 35bn is a big number.
☝️
I worked with both Stripe and Braintree. I choose Braintree to integrate with and it was superior to Stripe in 2013. But Braintree got acquired by Paypal for a paltry 800 million.
What’s Stripe’s annual revenue? Do we know what their growth rate and profit margins are?
Exactly! We don't know and they won't tell us.
You ask stupid questions Kenneth. #Believe