Rivian ($0 revenue, -$1.6 billion net income) now has a higher market cap than Starbucks ($29 billion revenue, $4.2 billion net income) and Target ($100 billion revenue, $6.3 billion net income).
$RIVN $SBUX $TGT
Data via @ycharts
More from Valuation
When we put a high multiple to sales, the most important thing to worry about is - what could disrupt those cash flows. A lower multiple to sales (like a 1x or 2x) justifies Yo-Yo cyclicality and 10x sales implies relatively stable gross margins, cash flow and business economics.
It's amazing \U0001f60a 25% NP
— Avinash (@Aviral_Bharat) February 17, 2022
$8b revenue
$2b Profit
$92b MCap
At 11 times revenue, it seems to be cheap compared to\U0001f609