Can anyone estimate what an investors in 2009 in Air BNB will get for an ROI post- IPO? I just looked and S&P 500 returned 426.134% with dividends reinvested through September 2020.
If someone got shares in 2009 they likely had a substantially higher return.
Re: 2009. I recall an early employee saying YC told them not to hire anybody, but they hired him anyways off of his very creative outreach. But let me tell you they all earned every penny of it. It's hard to remember how crazy of an idea Airbnb was ~10 years ago.
The real question is though, going forward, what ROI will Airbnb deliver vs. the S&P 500.
Growth stocks seem to be nearing bubble territory at the moment, so if we get a repeat of the 2000s where interest rates start rising again and value stocks become more in favor, it doesn't look great.
Then again, selling fractionalized access to highly restricted real estate supply in all of the world's major cities doesn't sound like a bad bet for the future. If the lack of desire to invest in new construction in cities due to the covid narrative of cities being dead (obviously overblown) leads to further supply deficits, the future for Airbnb looks bright.
So in summation, its impossible to predict, buy index funds instead.
Depends on later stage dilution and what the pre-money is, but still a ridiculous markup. No comparison to S&P.
https://www.crunchbase.com/organization/airbnb/company_finan...