| Sheesh.. pedantry on HN can be harsh. I remember sparking about 15 cranky comments for calling Milton Friedman “on the Austrian side of economics.” But, can’t beat em, join em. Qualcomm is basically Estonia. Qualcomm’s revenue multiple is about 4.25X. Using that multiple, Estonia should have a similar valuation. Qualcomm has the higher growth rate, but Estonia has been a country for a while with a loyal customer base. Qualcomm’s customers will probably use whatever chips come wired into their phone. Estonia’s are likely to stay Estonian unless a disruptive innovator comes along with a 10X improvement. 10X, not 10%. Think big Putin. If we weigh these against each other, it’s about even. So… Estonia’s National valuation is about $103.4, based on $24bn in gross stuff (yuck). Just kidding!. That’s preposterous of course. Qualcomm is investor backed, Like Tesla. Estonia is debt backed, like a country. You can’t compare those either, and you’d know this if you read all the cranky HN pedantry from before! Someone tried to compare Tesla to GM, the fool! What we need is Estonia’s enterprise value…. Now, that’s apple’s to apple’s. Also, Russia, NATO and stuff. |