Estimating TikTok’s stock price ahead of its potential IPO remains challenging due to the absence of a confirmed IPO date and the ongoing fluctuations in ByteDance’s valuation. Recently, ByteDance initiated a stock buyback program, offering $160 per share, which values the company at approximately $268 billion. NerdWallet, Inc. is an independent publisher and comparison service, not an investment advisor. Its articles, interactive tools and other content are provided to you for free, as self-help tools and for informational purposes only. NerdWallet does not and cannot guarantee the accuracy or applicability of any information in regard to your individual circumstances. Examples are hypothetical, and we encourage you to seek personalized advice from qualified professionals regarding specific investment issues.
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However, some Chinese companies, including Alibaba (BABA), trade on the New York Stock Exchange. The company doesn’t have a stock symbol because neither TikTok nor its parent company, ByteDance, are publicly traded. To put that in perspective, Facebook parent company Meta Platforms (META 0.31%) generated $75 billion in revenue in the first half of 2024. Meta’s valuation is significantly higher than ByteDance’s, which may be due to better profitability for Meta but more likely has to do with the regulatory challenges facing ByteDance. The prospects for a ByteDance or TikTok initial public offering (IPO) anytime soon are slim. Amid slow progress on IPO efforts in 2022, ByteDance bought back $3 billion in shares at a $300 billion valuation to allow early investors to cash out some of their equity without an IPO.
Accredited investors can buy pre-IPO stock in companies like TikTok through EquityZen funds. These investments are made available by existing TikTok shareholders who sell their shares on our platform. Typically, these are early employees who need to fund a life event – house, education, etc.
TikTok Investors
- Jacobs has always been eager to embrace collaborations, so his brand’s signature bag has also, at certain points, been available in unique designs by Tremaine Emory of Denim Tears, abstract artist Futura, and more.
- The company doesn’t have a stock symbol because neither TikTok nor its parent company, ByteDance, are publicly traded.
- ByteDance, the owner of TikTok, has offered to buy back shares, which suggests that an IPO may not be imminent.
- SoftBank’s most notable holdings include Alibaba (BABA -4.45%), T-Mobile (TMUS -0.82%), and chip-designer Arm Holdings (ARM 0.94%).
FinanceBuzz makes money when you click the links on our site to some of the products and offers that we mention. These partnerships do not influence our opinions or recommendations. You could invest in either of these companies using one of the best brokerage accounts. You could also invest in ByteDance itself when it goes public, using the same account.
You might soon see TikTok’s stock name lighting up stock tickers around the world. While you can’t directly invest in TikTok right now, there are ways to gain indirect exposure, like investing in ByteDance’s investors or competitors. Launched in 2016, it gained massive traction worldwide in just a few years. It’s now one of the most downloaded apps globally and boasts over a billion active users. Its ability to keep users engaged through personalized content and its viral nature make it a dominant force in social media. They may not feel pressured to seek public investment to fuel their growth.
TikTok employees, of which there are about 7,000 in the U.S., may be granted company stock, and they may also have an hammer candlestick opportunity to sell their investments. The overall IPO process has been known to lead to a few changes within a company’s leadership structure, and this is mainly just due to the status of being a publicly traded entity requiring additional roles in management. It’s hard to say if TikTok will undergo the same kind of shift, but it wouldn’t be uncommon at all if they were to do so.
Mitchell Green also noted that if TikTok’s US operations were divested due to legal pressures, major US companies might show strong interest, potentially driving up the stock price during the IPO. ByteDance’s decision to repurchase shares may provide liquidity for early investors and employees, signaling the company’s efforts to stabilize its valuation amidst these uncertainties. Yes, TikTok and almost all privately held companies issue stock so founders, employees, and investors can participate in equity ownership. However, because TikTok is privately held, it is more challenging to acquire shares than if the company was publicly traded. TikTok is a popular social media platform that allows users to create and share short videos on a wide range of topics, from dancing and lip-syncing to comedy sketches and informative content. Getting access to a private market with someone offering to sell ByteDance shares at a price you’re willing to pay isn’t easy — or even possible — for most investors.
Other social media platforms
Until then, those interested in investing should keep a close eye on news and consider alternative ways to gain exposure to TikTok’s industry. This level of personalization has helped TikTok maintain its popularity, making it an attractive asset for ByteDance and a reason investors are eager to own a piece of the action. It’s unknown whether TikTok (or its parent company ByteDance) will become a public company via an IPO.
How to Invest Money
While ByteDance could be valued at $400 billion or more, its share price is not yet known since it’s not a publicly traded company. A report in October 2021 revealed an equity buyback from an employee stock ownership plan (ESOP) at a stock price of $132. TikTok’s staggering user growth rate is one of the biggest reasons it might be a good investment if it eventually goes public. After all, TikTok is the fastest-growing social media platform of 2022.
Impressively, across 9 funding rounds ByteDance has raised a total of US$7.4 billion, according to CrunchBase. At ByteDance’s latest funding round – led by Tiger Global Management – the company boasted an implied valuation of between US$ billion – according to the Wall Street Journal. Get stock recommendations, portfolio guidance, and more from The Motley Fool’s premium services. Here’s the scoop on investing in Starlink, the world’s largest provider of satellite internet services worldwide. TikTok’s user growth is slowing from the astronomical levels it saw in previous years, but its user monetization has come on strong in recent years. ByteDance generated $73 billion in revenue in the first half of 2024, $17 billion of which came from outside China.
TikTok is a social media platform that allows users to create, share, and view short-form videos. The app has gained immense popularity, especially among the younger generation, due to its unique algorithm that personalizes content for each user. TikTok’s innovative approach to content creation and distribution has made it a significant player in the global social media landscape. TikTok is a social media platform that allows users to create and share short-form videos, primarily focused on music and lip-syncing. The application connects a global community of content creators and enables users to engage with friends and family through creative expression.
- Facebook and Instagram aren’t public companies either, but you can invest in their parent company.
- Softbank’s shares trade on the OTC market in the US under the ticker symbol SFTBY.
- The app has gained immense popularity, especially among the younger generation, due to its unique algorithm that personalizes content for each user.
- But ByteDance is just a small portion of the firm’s overall portfolio.
- Both Facebook — now named Meta — and YouTube are estimated to have more than twice as many active users as TikTok.
We examine how you can trade ByteDance – the owner of TikTok – before a potential IPO, as well as examine a number of key variables currently impacting the company.
Fractional shares will be sold when a transfer or closure request is initiated. Investing in alternative investments and/or strategies may not be suitable for all investors and involves activ trades review unique risks, including the risk of loss. An investor should consider their individual circumstances and any investment information, such as a prospectus, prior to investing.
However, two publicly traded investment companies hold shares of ByteDance, and anyone can buy shares in them. Since 2013, the EquityZen marketplace has made it easy to buy and sell shares in private companies. EquityZen brings together investors and shareholders, providing liquidity to early shareholders and private market access to accredited investors. With low investment minimums through our funds and with more than 45K private placements completed across 450+ companies, EquityZen leads the way in delivering „Private Markets for the Public.“ After launching Douyin to great success in China, ByteDance brought TikTok to the global market in 2017. The app has since grown in popularity as a platform for sharing short-form videos, enthralling users worldwide.
The information in this site does not contain (and should not be construed as containing) investment advice or an investment recommendation, or an offer of or solicitation for transaction in any financial instrument. The United States and India are two key government’s that have taken issue with ByteDance and the way it configures its apps – with both citing security concerns as a key issue. Interestingly, while India simply banned TikTok outright – as well as a number of prominent Chinese apps – the United States has taken a different approach, instead requiring ByteDance to sell its US operations. IG’s grey market price is based on our prediction of ByteDance’s market cap at the end of the first trading day. Although KKR has a great track record of producing returns for investors, it’s important to note that investing in KKR differs from investing in its portfolio. KKR is also competing with other asset management firms for investors, putting pressure on its fees.
The stock would likely be listed under its parent company’s name, ByteDance, if it were to go public. There is no official announcement or timeline for when TikTok or ByteDance will go public. However, some analysts and investors believe that ByteDance will eventually go public, as it could unlock more value for its shareholders and employees. ByteDance was founded in 2012 by Zhang Yiming, a former software engineer and entrepreneur.
Accredited investors investing in streaming tv are then offered the opportunity to invest in this stock through a fund, like those used by hedge funds serving large investors. While not without risk, investing in private companies can help investors reach goals of portfolio diversification, access to potential growth and high potential return. Buzzery, LLC (d/b/a „FinanceBuzz“), is registered with the U.S. Investing in the stock market, especially in tech and AI-related stocks, can be a profitable venture.