Tech IBers late 90s
why were they so bad at valuing these ridiculous businesses. not only did they value it so high, even though they had no profit or revenues in some cases, but the average stock would gain 30-100% on IPO day. why didn’t they estimate their inflated price then add 50% for poops and giggles and capture the extra dough? i’m a youngie and have only studied this period so would like some insight. ps. i know how difficult it must’ve been to value them period.
Study together. Pass together.
Join the world's largest online community of CFA, CAIA and FRM candidates.