Public market multiples are down rist premium to change, inflation change. But they have plenty of cash on the balance sheet. Snowflake this year will grow its free cash flow at over a hundred % a year. And so now if you look at the multiple, it's similar to what we'd expect of a regression of the five year anal.Unless these companies want to go dark for the next three to five years, meaning no sophisticated, lay stage investor doing around or going public, they'll be ok. Otherwise they're going to have to reckon with a version of what brad just said, which is the high, the flight to quality problem.
0:00 Bestie Guestie Brad Gerstner is filling in for Friedberg
1:34 Understanding public SaaS and Internet multiples, Instacart's cuts its valuation by 40%, understanding reality of overvalued late-stage companies
21:52 Capital allocators at fault, how crossover funds are reacting, late-stage price discovery, investor and founder behavioral psychology
40:37 Sacks' burn multiple, managing growth spend, new VC qualifications, lessons from the COVID bubble
53:58 Russia/Ukraine: US potential non-ceasefire strategy, Zelenskyy's revelations in CNN interview, rhetoric getting more aggressive
1:08:58 How will Putin withdraw without redacting the sanctions? What is the offramp? Zelenskyy's posture on global war
1:24:18 Understanding China's recently announced tax cuts, All-In Summit talk
Follow the besties:
https://twitter.com/chamath
https://linktr.ee/calacanis
https://twitter.com/DavidSacks
https://twitter.com/friedberg
https://twitter.com/altcap
Follow the pod:
https://twitter.com/theallinpod
https://linktr.ee/allinpodcast
Intro Music Credit:
https://rb.gy/tppkzl
https://twitter.com/yung_spielburg
Intro Video Credit:
https://twitter.com/TheZachEffect
Referenced in the show:
https://sacks.substack.com/p/the-burnmultiple-51a7e43cb200
https://substack.com/profile/11803623-jamin-ball
https://twitter.com/nfergus/status/1506243619384037378
https://www.bloomberg.com/opinion/articles/2022-03-22/niall-ferguson-putin-and-biden-misunderstand-history-in-ukraine-war
https://www.rand.org/pubs/research_briefs/RB10014.html
https://twitter.com/samramani2/status/1507378113893871617
https://www.reuters.com/world/europe/russia-says-first-phase-ukraine-operation-mostly-complete-focus-now-donbass-2022-03-25/
https://www.wptv.com/news/national/russia-ukraine-conflict/zelenskyy-warns-of-world-war-iii-if-russia-ukraine-peace-talks-fail
https://www.realclearpolitics.com/video/2022/03/20/zelensky_ukraine_failed_putin_talks_would_mean_a_third_world_war.html
https://www.politico.com/news/2022/03/20/zelenskyy-ukraine-zakaria-interview-00018716
https://fortune.com/2022/03/25/russia-g20-summit-putin-biden-indonesia-bali-china-ukraine/
https://www.nytimes.com/2022/02/23/world/europe/putin-speech-russia-ukraine.html
https://fortune.com/2022/03/24/putin-russia-natural-gas-europe-imports-pay-in-rubles-sanctions/
https://www.wsj.com/articles/saudi-arabia-considers-accepting-yuan-instead-of-dollars-for-chinese-oil-sales-11647351541
https://www.nytimes.com/2022/02/23/world/europe/putin-speech-russia-ukraine.html
https://www.cnbc.com/2022/03/24/biden-says-us-would-respond-to-russia-if-putin-uses-chemical-or-biological-weapons.html
https://www.washingtonpost.com/news/post-politics/wp/2014/03/09/blinken-u-s-would-not-recognize-crimea-secession/
https://www.wsj.com/articles/biden-sticks-with-longstanding-u-s-policy-on-use-of-nuclear-weapons-amid-pressure-from-allies-11648176849
https://www.bloomberg.com/news/articles/2022-03-21/china-embraces-supply-side-economics-with-tax-cuts
