After the eu rollout to say it occured
the way I see it, and I may be very wrong, the price per share for a 10 - 1000 shares position is not the same price per share for a 2% position, nor is the same price per share for a 10% position, nor is the same price for a 20% position…
I believe, like others, the next crowdfunding round will happen jointly with a VC round, after the effective beginning of expansion to continental Europe but before its completion. VCs usually want skin in the game. I don’t think any of them would be interested in place a couple of million in a Round C. In my eyes that has to drive the price up…
I believe a £2B valuation would be a massive discount by the time the funding round takes place given the number of registered users, the growth in terms of clients’ assets under custody, the valuations of competitors, the presence in continental Europe, the WIP to open Canada, Japan and Australia, and a remarkable success story of delivery.
I am convinced we are way passed £2B. The price per share will reflect all of the above I think. Not only the track record but also the future prospects
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Using the same method as above this puts the current market value at approx £990M.
Or £15.50 / £14.14 (63M shares/70M)
Let’s just round it to an even £1B valuation 
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I take it back, I prefer your valuation 
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This adds no premium for the MASSIVE increase in user signups recently. I think we have increased user numbers more than 4 times since the Series B and we are only just getting started with marketing! 4 times the series B valuation would be £1B, now add further potential through momentum and increased advertising… The large £1B ship has sailed and we are looking to the horizon to see what appears next! I think it will be something BIG.
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I think conversion stats into paying customers start to play into things. How does one cohort look like and what’s the changes between cohorts? Quicker to monetize them and at higher rev numbers?
Not enough to have plenty of users but you want users that add something to your bottom line
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Lets get back on track now Juno has been suspended for the umpteenth time.
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I believe that there are two factors that compliment the actual users figure: the number of active users and the assets under management. If the ratio of the active users over total users grows and the assets under management have grown exponentially, then the company can justify a larger valuation. We don’t have these numbers, so we can only guess. But I believe the company does really well on both frontiers.
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People keep asking about AUM. Whilst this measure is very relevant to legacy brokers who charge a % fee on AUM. I’m not sure its the most relevant measure for FT as its revenues streams are based on a freemium subscription model - so therefore % of users paying the various subscriptions is more relevant. The second revenue stream is a charge on currency conversion on purchasing foreign denominated stocks - this is a little related to AUM but more related to frequency of trading. But let me know if I’m missing something.
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I think it’s a good measure as it’s calculation affects the average balance within a user account, the higher the number the more income freetrade would generate in the lifetime of the user. And the higher AUM creates a strong sense of security in the view of potential customers
And once people start investing and the balance will hopefully keep rising people will start to see the benefits of the Isa and sipps.
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I think that AUM and AUM per user are important metrics but the key parameter are the total revenues.
Listed brokers/neo brokers trade at very different valuation as % of AUM (from the 5% of Hargreaves to the 35% of Robinhood) and so it will be difficult to compare Freetrade to them in term of valuation.
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HL is a mature platform, RH is a growing platform with a much younger demographic. I suspect both trade at a fairly similar discounted rate to estimated future assets and the current discrepancy reflects not a mispricing but instead the anticipation that RH is much more likely to significantly increase AUA (through user acquisition and demographic shift).
I think the same is true for Freetrade, even if FT wasn’t growing active users (which clearly it is) I’d expect it to trade at well above HL’s rate just because as its users age assets will grow rapidly. Also there is more potential for cross selling to bring in assets (e.g. SIPP)
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@Cameron can you please share a link in your post?
Thanks. Much appreciated
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Thanks @Cameron
Cash ISAs with a huge presence in spite of the returns they provide 
On the bright side much can be changed and accomplished
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Is that share price an accurate estimate? If so, FT is one of my best investments 
I bought in July 2019 and have 3139 shares.
I was updating my Crowdcube spreadsheet today so came on here looking for an estimated share price. You’ve made me smile!
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