UberIPO2019.xlsx - Company's current status What was the total grossed by the company in the most recent twelve months What revenues did your company

UberIPO2019.xlsx - Company's current status What was the...

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Company's current status What was the total grossed by the company in the most recent twelve months? What revenues did your company generate in the most recent twelve months? What operating profits (losses) did your company report in that twelve-month period? Overall Market What is the potential market for Uber? Based on your potential market choice above, this is the potential market What effect will Uber have on the size (growth) of the potential market? Expected annual growth rate (next 10 years) based on your growth rate choice Company's share of that market How strong will Uber's network effect be in the potential market? Expected market share (based upon your network choice) When do you expect the company to get to this market share? How strong and sustainable are Uber's competitive advantages What portion of the gross billings will accrue to the company as revenues? How much incremental revenue do you expect for every dollar of incremental investment? If direct input of incremental investment, enter the number here Profitability What employment relationship do you see Uber having with its drivers? What is the expected operating margin (in steady state)? How quickly will operating margins improve in the next year? Year in which target margin reached What is the effective tax rate on your income? Risk What cost of capital would you assign to this company, ignoring surivival risk? If direct input, what is the cost of capital you would like to use initially (first 5 years)? What cost of capital would you assign to established players in this business? If direct input, what is the cost of capital you would like to use in steady state (after year 10)? What is the probability that the company will fail sometime in the next 10 years? What return on capital do you see the company generating in steady state? General inputs What is the risk free rate? What is the statutory tax rate for the country in which the company in incorporated? Do you want me to use this as the effective tax rate in steady state? Loose End Inputs Cash Balance for the company Crossholding in Didi (20%) Crossholding in Grab (23.2%) Crossholding in Yandex (38%) NOL carried forward
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IPO Proceeds retained by firm Debt Outstanding Proceeds put back into business Number of shares outstanding = Your narrative for Uber Uber's potential market is Uber's effects on growth in the potential market will be Within this market, Uber will have Uber's competitive advantages in that market will be A Uber's driver will be treated as Uber' reinvestment for growth will be Uber's operating risk will result in a cost of capital that puts it in Uber's chance of failure (not making it) is And your resulting valuation of Uber is Value of the operating assets = Imputed multiple of current revenues =
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$49,799.00 $10,025.00 -$2,445.00 A4. Global Logistics $400,000.00 B4. Double market size 10.39% C6: Direct input 30.00% 10 D5: Direct input 20.13% Small investment in autonomous cars, small acquisitions (4.00) 4.00 E3: Full employee 15.00% F2. Moderate convergence 7 25.00% 75th percentile of US companies (9.97%) Median of US companies (8.24%) 5% 75th percentile (ROIC=20%) 2.50% 25.00% Yes $6,406.00 $8,000.00 $500.00 $200.00 $1,147.00
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$9,000.00
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  • Summer '14
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