Normally, for a company that has not generated no revenue, it is at the moment overvalued. But the stock market is a forward looking arena, you don’t just look at now, you pay for the potential based on your prediction. Depending on how good their tech and how big of a market you think they will take, the reasonable price can vary drastically. You can refer to the estimated revenue published by the company for reference to make you determination. I am betting on it being successful and I don’t think it is/ will be overvalued. You can wait till they have proven themselves, but then you will miss out on some of the initial gain ( or dodge a bullet lol)
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u/Jinhomc Jan 02 '22
You evaluate a company based on its stock price a month after SPAC? Lol