As one of the world’s leading payment solution providers, stripe has attracted widespread attention from investors. However, under the impact of the downturn in technology stocks, stripe’s valuation has been lowered in the latest round of financing. This article will analyze stripe’s latest financing and business conditions, and provide suggestions on how to invest in this payment giant.
stripe received $6.5 billion in new financing, with valuation lowered to $50 billion
According to public reports, stripe recently completed a new round of financing totaling $6.5 billion. This round of investors included world-renowned investment institutions such as Andreessen Horowitz, Founders Fund, Goldman Sachs Asset Management, etc. However, affected by unfavorable external economic environment, stripe’s valuation in this round fell to $50 billion, compared with the valuation of $95 billion in 2021.
stripe payment business maintains rapid growth
Although the valuation has declined, stripe’s payment business is still growing rapidly. According to stripe’s financial report, its transaction volume reached $601 billion in 2022, a year-on-year increase of 44%. Revenue reached $14.9 billion, a year-on-year increase of 40%. The growth rate is still far ahead of payment leaders such as PayPal and Block. Therefore, stripe still has ample room for valuation restoration after the economic environment improves.
individual investors can consider stripe stock after IPO
As a private company, individual investors currently have no direct access to investing in stripe equity. It is reported that stripe plans to go public through IPO in the next 1-2 years. By then, general investors can purchase stripe stocks through public markets. Considering stripe’s long-term growth potential in the payment field, its stock will still be very attractive after listing.
Although stripe’s valuation has declined recently, its core payment business maintains rapid growth. Individual investors can pay attention to stripe’s stock performance after it goes public in the future.