alt Hacker News"In the short term the market is a popularity contest; in the long term it is a weighing machine." - Warren Buffett
Here's the valuation though. Percentage of total web traffic going through Cloudflare.
- 2016 ~3.9%
- 2017 ~5.3%
- 2018 ~6.6%
- 2019 ~7.6%
- 2020 ~11.2%
- 2021 ~15.4%
- 2022 ~19.4%
- 2023 ~18.0%
- 2024 ~18.9%
- 2025 ~19.2%
- 2026 (early) ~20.9% (with later snapshots higher, up to the mid-to-high 20s)
Combine that with consistently excellent execution and popularity, you get the valuation.
Replies
timacles • today at 7:25 PM
All it takes is for that % of internet number to go down or stagnate and the narrative to change and that valuation will quickly snap back to reality.
The quote comes from Ben Graham and it goes "In the short run, the market is a voting machine, but in the long run, it is a weighing machine"
You're confusing market share with valuation. Also, look into business cycle theory from marathon asset management.
The four most dangerous words in finance "this time is different"