Finance Guru Says Uber Valuation Should be $6 Billion, Not $17 Billion
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Any irrational exuberance aside, the valuation analyst estimates Uber's valuation at $6 billion, on par with the market cap of Avis Budget Group, and he thinks Uber has a 90% chance of survival.
Valuation guru Aswath Damodaran says Uber's $17 valuation is almost entirely driven by the "narrative" from a small set of investors in its latest funding round and should more likely be around $6 billion.
That number is certainly nothing to sniff about since a $6 billion valuation would put Uber -- which doesn't own any cars or have drivers as employees -- on par with Avis Budget Group's $6 billion market cap, but far below Hertz's $11.8 billion. And it's nowhere near $17 billion.
In a blog post, Damodaran, professor of finance at the Stern School of Business at New York Univer
