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jerryking : lyft   15

What You Need to Know to Pick an IPO
April 7, 2019 | WSJ | By Andy Kessler.
Dig up dirt on the competition and board members, and buy to hold long-term.......How do you know which IPOs to buy? No, not to trade—you’d never get it right. Lyft priced at $72, traded at $85 on its first day, then closed at $78, only to fall to $67 on its second day. It’s now $74. I’m talking about buying and holding for a few years. Yes I know, how quaint.

The trick is to read the prospectus. What are you, crazy? That’s a couple hundred pages. Well, not the whole thing. But remember, where the stock trades on its first day is noise....... So understanding long-term prospects are critical. Here are a few shortcuts.

(1) First, glance at the underwriters along the bottom of the cover. On the top line are the banks putting their reputation on the line. If the one on the far left is Goldman Sachs , Morgan Stanley or JPMorgan , you’re probably OK.
(2) open the management section and study the directors. Forget the venture capitalists or strategic partners with board seats—they have their own agendas. Non-employee directors are the ones who are supposed to be representing you, the public investor. And their value depends on their experience.
(3) OK, now figure out what the company does. You can watch the roadshow video, look at prospectus pictures, and skim the offering’s Business section. Now ignore most of that. Underwriters are often terrible at positioning companies to the market.......when positioning companies, only three things matter: a monster market; an unfair competitive advantage like patents, algorithms or a network effect; and a business model to leverage that advantage. Look for those. If you can’t find them, pass. Commodities crumble........read the Management’s Discussion and Analysis. Companies are forced to give detailed descriptions of each of their sectors and products or services. Then flip back and forth to the Financials, looking at the items on the income statement and matching them up with the operations being discussed. Figure out what the company might look like in five years. And use my “10x” rule: Lyft is worth $25 billion—can they make $2.5 billion after-tax someday? Finally there’s the Risk section, which is mostly boilerplate but can contain good dirt on competition.
(4) Put the prospectus away and save it as a souvenir. Try to figure out the real story of the company. Do some digging.
(5) My final advice: Never, ever put in a market order for shares on the first day of an IPO.
10x  advice  algorithms  Andy_Kessler  boards_&_directors_&_governance  business_models  competitive_advantage  deception  due_diligence  howto  IPOs  large_markets  long-term  Lyft  network_effects  noise  patents  positioning  prospectuses  risks  stock_picking  think_threes  Uber  underwriting  unfair_advantages 
april 2019 by jerryking
While other regions look to the future of transit, Toronto is lagging behind - The Globe and Mail
R. MICHAEL WARREN
CONTRIBUTED TO THE GLOBE AND MAIL

What’s the future of public transit?

A 2017 MIT study found that all 13,000 New York taxi cabs could be replaced with 3,000 ridesharing cars used exclusively for carpooling. The average wait would be 2.7 minutes. The whole ridesharing system would be 20 per cent faster.

Already transport network companies like Uber and Lyft are driving the taxi industry off the road around the globe. They are doing it with a series of clever algorithms and without owning any cars.

Private ride-sourcing is growing. Ridesharing is coming. Driverless cars and trucks are less than a decade away......The impact on traditional mass transit is not clear. The lines between public and private transportation are being blurred.....Uber and Lyft say they want to complement public transit. But that’s not happening so far. .......TTC ridership has stalled at about 535 million rides annually since 2014. They acknowledge existing travel alternatives like Uber and Lyft have been siphoning away ridership at an increasing rate (responsible for a 6 per cent transit decline in some U.S. cities). Driverless, ridesharing vehicles are poised to steal even more of the TTC’s future market share........the Metrolinx board approved the final draft of the 2041 Regional Transportation Plan. It sets out the regional vision, goals and strategies for the next 25 years.

Only six pages of the 200-page plan are devoted to “preparing for an uncertain future.” Metrolinx concedes that “autonomous vehicles are expected to dramatically change how people and goods are moved.” But the plan lacks a sense of urgency.

The plan says all the right things about embracing the new mobility opportunities: establish partnerships with providers like Uber; develop regulatory tools; test and evaluate new services and technologies; develop a regional big-data strategy.

However, this is all in the future. Other transit systems are already implementing these ideas. Dallas Area Rapid Transit (DART) has incorporated private ridesharing into its mobile ticketing app. Passengers checking train schedules can click through to Uber, Lyft or Zipcar to get to their station.....Preparing for this future means learning from other jurisdictions, integrating current private ride-hailing services into the public system and experimenting with driverless vehicles.
public_transit  transit  Toronto  GTA  Metrolinx  sharing_economy  ride_sharing  laggards  Uber  Lyft  future 
may 2018 by jerryking
Think like a supermodel to wrest control of the gig economy | Evernote Web
July 13, 2017 | Financial Times | Tim Harford.

Smartphones have allowed companies such as Uber and Deliveroo to take critical management functions--motivating staff, evaluating and rewarding performance, scheduling and coordination--and replace them with an algorithm.....But gig workers could install their own software, telling it where they like to work, what they like to do, when they’re available, unavailable, or open to persuasion. My app — call it GigBot — could talk to the Lyft app and the TaskRabbit app and the Deliveroo app, and interrupt me only when an offer deserves attention.

Not every job can be broken down into microtasks that can be rented out by the minute, but we might be surprised at how many can. Remember that old line from supermodel Linda Evangelista, “We don’t wake up for less than $10,000 a day”? GigBot will talk to your alarm clock; $10 or $10,000, just name the price that would tempt you from your lie-in.

It is easy to imagine a dystopian scenario in which a few companies hook us in like slot-machine addicts, grind us in circles like cogs, and pimp us around for pennies. But it is not too hard to imagine a world in which skilled workers wrest back control using open-source software agents, join electronic guilds or unions and enjoy a serious income alongside unprecedented autonomy.

Nothing empowers a worker like the ability to walk out and take a better offer; in principle the gig economy offers exactly that. Indeed both scenarios may come true simultaneously, with one type of gig for the lucky ones, and another for ordinary folk.

If we are to take the best advantage of a true gig economy, we need to prepare for more radical change. Governments have been content to use corporations as delivery mechanisms for benefits that include pensions, parental leave, sick leave, holidays and sometimes healthcare — not to mention the minimum wage. This isn’t unreasonable; even a well-paid freelancer may be unable to buy decent private insurance or healthcare. Many of us struggle to save for a pension. But if freelancers really do start to dominate economic activity — if — the idea of providing benefits mostly through employers will break down.

We will need governments to provide essential benefits, perhaps minimalist, perhaps generous, to all citizens. Above that safety net, we need portable benefits — mentioned warmly but briefly by Mr Taylor — so that even a 10-minute gig helps to fill a pension pot or earn time towards a holiday. Traditional corporate jobs have been socially useful, but if you push any model too far from reality, it will snap.
Tim_Harford  gig_economy  mobile_applications  Lyft  TaskRabbit  Deliveroo  freelancing  self-employment  independent_contractors 
july 2017 by jerryking
The End of Car Ownership - WSJ
By Tim Higgins
June 20, 2017

Thanks to ride sharing and the looming introduction of self-driving vehicles, the entire model of car ownership is being upended—and very soon may not look anything like it has for the past century.

Drivers, for instance, may no longer be drivers, relying instead on hailing a driverless car on demand, and if they do decide to buy, they will likely share the vehicle—by renting it out to other people when it isn’t in use.

Auto makers, meanwhile, already are looking for ways to sustain their business as fewer people make a long-term commitment to a car.

And startups will spring up to develop services that this new ownership model demands—perhaps even create whole new industries around self-driving cars and ride sharing.

**Drivers: No more permanent arrangements**
The business of ride sharing may take on some new forms. Startups such as Los Angeles-based Faraday Future envision selling subscriptions to a vehicle (e.g. a certain number of hours a day, on a regular schedule for a fixed price).....Other companies are experimenting with the idea of allowing drivers to access more than just one kind of vehicle through a subscription.....Elon Musk has hinted that he’s preparing to create a network of Tesla owners that could rent out their self-driving cars to make money....Companies are already looking at how to market vehicles to overcome some of the possible psychological resistance to nonownership. Waymo, the self-driving tech unit of Google parent Alphabet Inc., has begun public trials of self-driving minivans in Phoenix for select users, with the eventual goal of testing them with hundreds of families.

**Big auto makers: Making peace with on-demand services**
As a result of both driverless cars and fleets of robot taxis, sales of conventionally purchased automobiles may likely drop. What’s more, because autonomous cars will likely be designed to be on the road longer with easily upgradable or replaceable parts, the results could be devastating to auto makers that have built businesses around two-car households buying new vehicles regularly. Currently, cars get replaced every 60 months on average...to get drivers to buy a vehicle of their own is to help owners rent out their vehicles,....GM is hedging all bets, investing in autonomous vehicles, Lyft, a car sharing service (Maven) and allowing Cadillac customers the ability to subscribe to ownership.

**New businesses: Helping to power a new industry**
....Autonomous vehicles could ultimately free up more than 250 million hours of consumers’ commuting time a year, unlocking a new so-called passenger economy, .....turn away from using the exterior of the vehicle as a selling point and focusing on making the interior as comfortable and loaded with features as possible.... turning cars into living rooms on wheels:.....Design firms will also cook up features designed to ease people into the practice of sharing rides regularly (with strangers).....allowing cars recognize to passengers’ digital profiles and become more responsive to their needs (caledaring, eating habits, etc.)....Existing industries may change to support an autonomous, shared future. For instance, the alcohol industry might see a rise in drinks consumed weekly with customers not having to worry about driving home,....Managing autonomous car fleets may be a new line of business for dealerships
automotive_industry  automobile  on-demand  autonomous_vehicles  end_of_ownership  Waymo  Tesla  sharing_economy  ride_sharing  start_ups  transportation  ownership  accessibility  Zoox  dealerships  Lyft  Maven  Reachnow  Getaround  subscriptions  Faraday  passenger_economy  connected_cars 
june 2017 by jerryking
The Rise of the On-Demand Economy - The CIO Report - WSJ
March 13, 2015| WSJ | By IRVING WLADAWSKY-BERGER.

we are seeing the rise of what The Economist called the On-Demand Economy in a recent article....Manufacturing jobs have been automated out of existence or outsourced abroad, while big companies have abandoned lifetime employment. Some 53m American workers already work as freelancers....now the sharing economy is evolving into something new. Ubiquitous communications, freelance work forces and low transaction costs are giving rise to the on-demand company, which aims to apply the principles of Uber or Airbnb to a much broader range of markets....A well-managed company strives to achieve an optimal balance between what work gets done within and outside its boundaries.

Advances in information and communication technologies are having a huge impact on the structure of companies....Where is the future of work heading in such an economy? “Freelance workers available at a moment’s notice will reshape the nature of companies and the structure of careers,”...Ubiquitous communications and very low transaction costs are giving rise to a new class of firm, the on-demand company. These firms aim to efficiently bring together consumers and suppliers of goods and services with their highly scalable platforms and innovative applications...
digital_economy  sharing_economy  Uber  Lyft  Ronald_Coase  Coase's_Law  transaction_costs  freelancing  on-demand  Outsourcing  gig_economy  Irving_Wladawsky-Berger 
march 2015 by jerryking
Will court rulings point way to an Uber-ized work force? - The Globe and Mail
IAN McGUGAN
Will court rulings point way to an Uber-ized work force?
SUBSCRIBERS ONLY
The Globe and Mail
Published Monday, Feb. 02 2015
Uber  Lyft  contractors  solo 
february 2015 by jerryking
UberPool, Lyft Line: my car trips with strangers - FT.com
December 18, 2014 | FT | Tim Bradshaw
UberPool, Lyft Line: my car trips with strangers
ride_sharing  sharing_economy  Uber  Lyft 
december 2014 by jerryking
Uber’s Secret Agents: When Poaching Becomes Unethical - NYTimes.com
AUG. 27, 2014
Continue reading the main story
Continue reading the main story
RELATED COVERAGE

Uber and Lyft Have Become Indistinguishable CommoditiesAUG. 28, 2014 Continue reading the main story
RECENT COMMENTS

Chris 28 August 2014
The article posits this is a question of ethics. Perhaps. It may also be an example of tortious interference with contract. If the...
WimR 28 August 2014
This article is too cynical for my taste. There are also general norms of decency that rule human behavior and the reported tactics of Uber...
Vinny 27 August 2014
Good analysis, but why, oh why, choose "cricket" as an adjective. Unlike another commenter, I've lived in NY and SF most of my life and the...
SEE ALL COMMENTS
Neil Irwin
Lyft  Uber  ride_sharing  sharing_economy  ethics  poaching 
november 2014 by jerryking
Holman Jenkins: What the Taxi Wars Teach - WSJ
Aug. 19, 2014 | WSJ | Holman Jenkins.

"wasn't the arrival of ride-sharing apps supposed to obliterate the traditional taxi industry? It turns out the new operators have been expanding the pie more than gobbling it up, creating new rides where taxi service was scarce (such as New York's outer boroughs), luring users out of private cars and off buses, and enabling trips that previously wouldn't have been taken at all.

In Chicago, taxi medallions appear to have stopped trading amid current uncertainty but are likely to end up holding much of their value. The traditional conspicuously yellow taxi (as in New York) that can be summoned with the raise of a hand is likely to find that its highly regulated niche survives even as new options proliferate. Value still adheres to the old medallions not least because of the untapped scope for efficiency improvement, ignored till now.

America is an interesting place, a society ruled by organized interest groups where nonetheless new things can happen. It's true that taxi operators have used regulation and litigation to slow the newcomers and force compromise with regulatory edicts on insurance coverage, vehicle age and driver training.

Laws exist and can't just be ignored. Organized interests like taxicab companies have every incentive to make noise about everything, demanding concessions.

Yet despite certain tropes about our dysfunctional political system, politicians also have every incentive to avoid maximalist positions on behalf of constituents, seeking to expand the groups they can make happy."
Holman_Jenkins  taxis  Uber  Lyft  medallions  mobile_applications  lobbying  ride_sharing  constituencies  interest_groups  upstarts  politicians 
august 2014 by jerryking

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