What Lyft and Uber Are Really Worth

With the 20% plunge from its offering price since its IPO, Lyft joins a large group of big-name tech IPOs that have slumped out of the gate, including Facebook, LinkedIn and Etsy. One of the big questions now is whether Lyft turns out to be like Facebook or Etsy, whose stock recovered and eventually turned into a winner, or like Blue Apron whose slump became permanent.

The other big question: Does Uber suffer the same slump? Uber’s bankers are reportedly already scaling back their pricing expectations, to $90 billion, from as much as $120 billion previously expected. That might not be enough. If Uber shares were trading at the same multiple of expected 2019 revenue as Lyft is now, we calculate it would be only worth around $55 billion. Below we detail several methods large investors are using to value both Uber and Lyft.