Friday, 28 February 2020

Public markets fall yet again as venture deal counts appear to slip

Hello and welcome back to our regular morning look at private companies, public markets and the gray space in between.

All around, this has been a tough week. The coronavirus is spreading and worry is running high as infections mount. In economic terms, global markets were repeated declines last night (domestic results here), and the U.S. indices are off again this morning.

There’s been plenty of bad news to read, even in our private market, startup-focused world. Yesterday the impact of COVID-19 on earnings became more apparent, bringing what has, for months, been an external concern to domestic technology companies. The problems are now. The past week’s market collapse into correction territory hasn’t helped,.

But the story so far has largely been public-market focused and with good reason: You can see the public markets contract in real-time. It’s far harder to see into the shifting dynamics of the private market. Today, however, we are going to try, all the same, by digging into some preliminary venture capital data.

I realize that the last few days have been awful. So, at the end of this piece, I’ve excerpted a quote from a recent interview I held with the CEO of Smartsheet, Mark Mader, about tech cycles, downturns, and getting through tough times. It’s perhaps useful today as the downward trend appears to continue.

Let’s start with a brief reminder of how elevated stock prices remain and what that means for tech multiples, and then look at early February VC results from the U.S., China and Europe. With that, in Sanskrit: अभिमुखी करोति.

Multiples, Markets

Before we dig into the venture capital data, a reminder that, even with recent declines, we’re still in warm waters as far as tech valuations go.



2 comments:

  1. As stated by Stanford Medical, It's really the ONLY reason women in this country get to live 10 years longer and weigh an average of 19 KG less than we do.

    (Just so you know, it is not related to genetics or some secret exercise and absolutely EVERYTHING to do with "how" they are eating.)

    BTW, What I said is "HOW", and not "WHAT"...

    CLICK on this link to discover if this brief questionnaire can help you find out your real weight loss possibilities

    ReplyDelete
  2. As claimed by Stanford Medical, It's indeed the ONLY reason women in this country live 10 years more and weigh 42 pounds lighter than we do.

    (And realistically, it has absolutely NOTHING to do with genetics or some hard exercise and really, EVERYTHING to do with "how" they are eating.)

    BTW, What I said is "HOW", and not "what"...

    Tap on this link to uncover if this little questionnaire can help you decipher your real weight loss potential

    ReplyDelete