>>69102382It's 71% overvalued when looking at its discounted cash flow.
The reason the price is so high is because of the high expectations of future growth with expectations of 30% of growth per year.
Without it it would be greatly overvalued.
This also means that the moment the initial hype phase dies and the growth slows down, the expectations will crumble and the stock price could violently dump by -70%.
At that point buying stocks of the company would be an interesting opportunity for me.
But at current valuations I don't have a good understanding of the future market Cover can get to make a bet based on hope of infinite growth.
If someone could give me more information on this I would be interested in projections of the future and how they make those estimations.
My feeling is that there are too many investors buying the hype of a company they know, who don't understand the fundamentals.
Once they experience a phase of despair and start selling I may buy.