Figma got acquired by an enterprise superpower, simultaneously creating a Kraken of a competitor and closing a path to exit. Canva are also one of the worse companies with shareholder liquidity, which I know in at least a few cases lead to fire-sale dispositions.
Do those events change the fundamentals though? Canva's bottom line is still excellent.
The previous valuation was just PE froth. Canva just raised money at the top of the market at an absurd valuation, but it's the cash flow that matters.
> Canva are also one of the worse companies with shareholder liquidity, which I know in at least a few cases lead to fire-sale dispositions.
"dispositions"? Makes no sense in the context. I worked at Canva and got to sell 20% in 2020 and 2021, the latter at the $40B valuation. So as a shareholder I'm relatively happy with the amount of liquidity in the stock.
You’re describing tenders. They’re fine for small-scale planned liquidity.
If a fund hits a risk limit, on the other hand, and must sell before the end of the year for compliance reasons, and the company is known to block transfers, the solution is a financially-engineered mechanism that throws off buyers and reduces the price. This liquidity discount gives management more control at the expense of shareholders. It’s also commonly priced into valuation expectations, at least by investors who aren’t all froth.
The same that happened to the valuations of the rest of the companies on the list. There's been a massive haircut across private software companies in the last 12-18 months. Stripe has had a similar fall in valuation.
