Hi David – thanks for the feedback as well as the suggestion.

If you look at a company with shares available, you’ll see the “Implied Valuation” based on the price. Scrolling down, you can see the valuation at the prior fundraising round and compare the two. The Implied Valuation is the closest thing you’ll find to a spot valuation, basically the price you can invest in a given company at on Sunbrick Equity. For example, if you see that a company you’re interested in investing into raised a round valuing it at $5B in 2023, but Sunbrick Equity’s Implied Valuation is $6B, the IV is suggesting it’s worth more than that last fundraising round. These valuations are dependent on the valuation we (Linqto) are able to acquire the shares at. So, if they’re more expensive than the prior fundraising round, that’s a reflection of what the market for those shares was asking for them.

All that said, the job of the investor is to determine how that implied valuation fits into your investing goals. For example, if it’s a discount to the prior round, is it a “value” investment or should it be trading for less? If it’s at a premium to the prior round, is it overpriced, or maybe that valuation makes sense? To summarize this point, just because it trades at a discount or premium to the prior round has no absolute determination on whether or not it’s a good fit for your portfolio. It’s just one heuristic that you can use.

Now, I think your suggestion is like what equity analysts would do for public companies, but instead we do it for private companies. They basically look at the stock price for public companies, assign a buy, hold, or sell rating and a target price, which helps investors build their portfolios. I really like that idea and will talk to the team about exploring it more.

Again, thanks for your feedback, and hope this helps!

– Darin

It would be super helpful if you could add a couple of examples of the valuation of investments offered by Sunbrick Equity. (While I appreciate that it would be a lot of work, it would be a real service to have a valuation range for each, or at least a subset of, the pre-IPO company you offer!)

This makes me think of the movie, Terminator,” how the machines had a mind of their own. Man is going in a direction that the shouldn’t go in. I do understand the concept but the concept can be or get dangerous 😳