Q So, okay, so in that case, because I really still want a formula, goddammit, um, can you guys at least tell me then what variables go into the decision making and how they might vary, no pun intended, with both the public and the private valuations?
A Yeah, so, I mean, the, the, the way, you know, most investors think about the, you know, the ingredients of the formula that you're referring to are, uh, growth rate, the overall market size that they're addressing, the unit level economics, you know, for the, the, the majority of these private companies They're not profitable on a net income basis. You know, some may be profitable on an EBITDA basis, but really they're, they're looking at, you know, the profitability on a unit level basis and what that means as you start to look out two, three, four years and look at profitability on an overall basis at that point. So really one of the, the, the very big differences that private investors think about is, is looking out over a much longer term time horizon to look at a normal, a steady state business versus Public investors that, you know, may look out 12, 18, maybe 24 months in some of the most aggressive situations a little bit longer than that. Whereas private investors generally have to look out, you know, a little bit further than that, um, to try to see what a steady state looks like. But in terms of the, you know, going back to the ingredients, you know, they're looking at a balance between growth, profitability, uh, market size, and then you have to think about all the other more intangible elements like barriers to entry, defensibility of the model, Competitive landsca…
AI assessment note: “ingredients of the formula that you're referring to are, uh, growth rate, the overall market size”