12-10-2020, 12:12 PM
It is astounding to me how many of these tech companies are trading at 30-50X sales, when in the past it was considered expensive for companies to trade at 30-50X EARNINGS.
Door Dash delivers food, and loses money while doing it. Yet it trades at a market cap of nearly $67B.
That market cap is higher than the combined market caps of restaurant stocks WEN, YUM, DRI, PZZA, JACK, and EAT. Companies that are actual profitable businesses.
DASH will never make significant money delivered food, because if they did, restaurants would develop their own delivery services and take the money for themselves.
Complete insanity.
Door Dash delivers food, and loses money while doing it. Yet it trades at a market cap of nearly $67B.
That market cap is higher than the combined market caps of restaurant stocks WEN, YUM, DRI, PZZA, JACK, and EAT. Companies that are actual profitable businesses.
DASH will never make significant money delivered food, because if they did, restaurants would develop their own delivery services and take the money for themselves.
Complete insanity.