Swiggy's valuation crosses $10Bn again. After going as low as $5.5Bn last year. A small note:
"Only when the tide goes out do you discover who's been swimming naked." - Warren Buffet
I want to appreciate Swiggy for whatever they've done in the last year. Everyone's had a tough time, and through the bear market (which we are still in), everyone lost valuation majorly.
You need to have a super strong business to be able to maintain strength (given we're still not in a bull). When in this market, somebody almost doubles their valuation, it's a feat.
I know there's layoffs and everything that happened there too, but just happy to see all of this happen as an avid user and a small founder who's realized how tough it's been these last 1-2 years.
Talking product sense with Ridhi
9 min AI interview5 questions
Real test is when they go public. Let's see how they fare there...
@Unknownajax For sure. And hence, what Zomato has gone through and stood strong is also very impressive. Their market cap is still higher than Swiggy's despite being public.
But both of them have created amazing operations, products, and business (still evolving I know)
Their market cap is higher than Swiggy despite being public. Why would their market cap be lower just because they are public? Ideally one should pay a premium for public companies, no? Say if I ask you buy 1000 Rs of Zomato stock vs 1000 Rs of swiggy's shares and all else is equal (top line, growth, etc) Zomato should trade higher because it offers you on tap liquidity while for Swiggy you have to wait for a buyback / fundraise or IPO to exit
I feel, this is a gimmick done by VCs before any company goes public as it can boost sentiment and VCs can dump their shares on the public.
Again this is my opinion..