EquityZen's Blog On Startups and Their Economics

Twitter's S-1 Filing and Valuation Explained by Professor Aswath Damodoran

Phil Haslett | October 08, 2013

On the heels of Twitter's public S-1 filing on October 3rd last week, EquityZen took a look at the company's projections and recent financials to see what all the fuss was about. As we began outlining our analysis, we came across a study by a very respected authority: Aswath Damodaran from NYU's Stern School of Business.
Professor Damodaran has plenty of experience analyzing tech companies through their high-flying growth phases, and gracefully summarized Twitter's filing here. His conclusion?
...Twitter's revenues will reach $11.5 billion in 2023. That will be more than a twenty fold increase in revenues and translate into a revenue growth rate of 55% for the next 5 years, scaling down to stable growth (of 2.7%) in year 11.
Read the Damodaran study in full.

comments powered by Disqus

Back to blog homepage

Stay up to date

I've got equity

I'm an investor

Search the Blog

We've partnered with Wealthfront to provide our clients with sophisticated, low-cost investment management services.

Full terms: here


Recent Posts

Check out our Knowledge Center for more resources.