Tech Disruptors Lose Their Luster

If you’ve closed your eyes lately to the constant gyrations in the stock market, you might have missed some interesting trends in valuations. One we’ve observed lately is how a number of older companies, in fields such as ad-supported media, retail, personal lending and shoes, are now trading at a premium to the venture-backed firms that were trying to disrupt their businesses. Some examples: iHeartMedia, a radio-podcasting conglomerate, is now trading at a premium to Meta Platforms on a multiple of future profits. On a different measure, a multiple of future sales, Nike is pricier than Allbirds, while Visa is trading at a premium to Affirm, according to data from Koyfin.