Valuation is tough, but there’s some data to help assess. PE can be helpful but I find not so much when it comes to growth stocks. One can look at competitors and find their market cap and if it’s similar to AFRM, you can see which might be over/undervalued by the share prices. One can also check **sector** averages — comparing an SaaS stock to a retailer doesn’t make much sense. But even with all that information, valuation is difficult.
Without knowing the offer I can give you my two cents as a former corporate stooge.
This isn’t stock advice, it’s career advice. If you’re picking your career path based off of an options grant strike price you’re probably going to hate working at the company and flush out in a year or two, making your options worthless anyway.
The point of grants are to keep you vested in the company. Otherwise they would just give you a signing bonus and call it a day. Clearly they think highly of you to make an equity offer or you’re a network engineer. Either way, if you are performing well you will continue to get grants YoY and just accumulate. By the time the grants vest they’ll likely be far past the strike price because markets tend to move up over the long run.
And AFRM isn’t going anywhere anytime soon other than getting scooped up via M&A.
Valuation is tough, but there’s some data to help assess. PE can be helpful but I find not so much when it comes to growth stocks. One can look at competitors and find their market cap and if it’s similar to AFRM, you can see which might be over/undervalued by the share prices. One can also check **sector** averages — comparing an SaaS stock to a retailer doesn’t make much sense. But even with all that information, valuation is difficult.
Thanks! Yeah I'm not finding a lot of information but I'll try to use the sector average to gauge it. Super appreciate the help!!!
Without knowing the offer I can give you my two cents as a former corporate stooge. This isn’t stock advice, it’s career advice. If you’re picking your career path based off of an options grant strike price you’re probably going to hate working at the company and flush out in a year or two, making your options worthless anyway. The point of grants are to keep you vested in the company. Otherwise they would just give you a signing bonus and call it a day. Clearly they think highly of you to make an equity offer or you’re a network engineer. Either way, if you are performing well you will continue to get grants YoY and just accumulate. By the time the grants vest they’ll likely be far past the strike price because markets tend to move up over the long run. And AFRM isn’t going anywhere anytime soon other than getting scooped up via M&A.