In this current market environment, people are willing to support LNKD at 9.3x sales. I wonder if they will do the same for DDD?
Comments
Redynamis
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I think you might have hyped up the sales growth for LNKD. :)
It should around 50% YOY. Whatever the true number is, investors are willing to pay up for DDD, they bidded the price up to 20x sales. This never occured to LNKD.
timwest
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It looks like LNKD's sales are growing at 100% per year while DDD's are growing at roughly 40%: LNKD gets a higher valuation as a result. LNKD has a higher Free Cash Flow Margin too, although unprofitable from a traditional accounting methodology. I'd be willing to pay twice the valuation of LNKD versus DDD from the higher sales growth rate, generally speaking.
It should around 50% YOY. Whatever the true number is, investors are willing to pay up for DDD, they bidded the price up to 20x sales. This never occured to LNKD.