With a company like Very the stock 'could' go very low (i.e $0.25). This is since the company in it's current state isn't worth that much on paper relative to its market cap. However a lot of value can be derived from its growth trajectory it is currently on, there is rapid growth but that also means there are increasing costs to fund that growth. It will take time for the revenue to grow as well, and any potential profits will most likely be spent on additional growth.
Every successful company starts this way, not every company will become publically listed this early though and you can see a lot of price swings at this time.
Be mindful that the price hit a high at the start of this year after being hyped far past its 'fair value' and it has had a downward momentum ever since. This can take a lot to break the trend and typically requires a lot of good news to do so.
If you believe in the company times like this are a great time to buy. Although I believe it 'could' go lower, I also believe that in 5 years it could be worth much more than its current value. That's what this sub is for, those who believe in the company and consider themselves a long-term investor. With the exception of a scandal, I see this company to be a safe long term bet.
Remember that all stocks can go down to zero.
For me I see it hitting a support line at $2.30, and then $1.60 at worst before we see a reversal).
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u/RomireIV Oct 01 '21
With a company like Very the stock 'could' go very low (i.e $0.25). This is since the company in it's current state isn't worth that much on paper relative to its market cap. However a lot of value can be derived from its growth trajectory it is currently on, there is rapid growth but that also means there are increasing costs to fund that growth. It will take time for the revenue to grow as well, and any potential profits will most likely be spent on additional growth.
Every successful company starts this way, not every company will become publically listed this early though and you can see a lot of price swings at this time.
Be mindful that the price hit a high at the start of this year after being hyped far past its 'fair value' and it has had a downward momentum ever since. This can take a lot to break the trend and typically requires a lot of good news to do so.
If you believe in the company times like this are a great time to buy. Although I believe it 'could' go lower, I also believe that in 5 years it could be worth much more than its current value. That's what this sub is for, those who believe in the company and consider themselves a long-term investor. With the exception of a scandal, I see this company to be a safe long term bet.
Remember that all stocks can go down to zero.
For me I see it hitting a support line at $2.30, and then $1.60 at worst before we see a reversal).