Written by Felix Richter, Statista.com
— this post authored by Felix Richter
After its share price soared 44 percent on its first trading day, Snap was valued at $28.3 billion.
That is nearly 70 times its total revenue for 2016. Even for a fast-growing tech company that is a lot. Facebook in comparison has a price-to-sales ratio of around 14.
As our chart illustrates, Snap was valued considerably higher than many American household names. That includes companies such as Kellog’s and Harley-Davidson that have been around for decades and probably will be for decades to come.
This chart compares Snap’s IPO valuation to the market capitalization of selected well-known U.S. companies.
You will find more statistics at Statista.
Note added by Econintersect
Snapshat (NASDAQ:SNAP) has cooled considerably in the five weeks following its IPO, closing trading today (Friday 07 April 2017) at $20.82. Now the market capitalization of SNAP is $24.4 billion, dropping its valuation below Kellogg’s and placing it just above American Airlines.
