Welcome to the 106th episode of Inc. Uncensored, hosted this week by Inc. editor Jim Ledbetter.
This week, staff reporter Zoe Henry analyzes the Snap Inc. IPO, which is the biggest tech IPO for the last several years. Snap Inc., the creator of mobile app Snapchat, which allows users to send and receive ephemeral photos and videos, is valued at $24 billion, yet only has $400 million in revenue is not profitable. Henry says investors are either seriously bullish or extremely bearish, with no in-betweeners. Henry compares Snap's financial documents with Facebook's and found that Facebook had $3.7 billion in revenue, was profitable before its IPO, and Facebook's valuation was only 28 times its revenue. Comparatively, Snap is not profitable and its valuation is a whopping 60 percent of its revenue.
Staff writer Will Yakowicz talks about how SpaceX, Elon Musk's commercial space company, announced this week that it plans to send two private citizens on a one-week mission around the moon. The tourists, whose names were not revealed, will fly in an robotic spacecraft without an astronaut on board. The trip is slated for late 2018. While the mission will not be of scientific value, it will mark the first time humans have traveled into deep space since the 1960s. But this mission is part of a broader trend as a burgeoning space economy is taking root in the U.S., filled with startups and ancillary businesses selling services to SpaceX, Virgin, and Blue Origin. From rocket startups to nano-satellite companies, investors have poured over $8 billion into space companies last year. Find out how space tourism could help add important revenue streams to companies like SpaceX to help humans explore deep space.
Lastly, our Exit Interview features Paul Danner, the CEO of Alliance MMA, a mixed-martial arts promotion company, on taking Alliance MMA public and being the only publicly-traded company of its kind.