Written by One of the more prominent investors is SoftBank, but ByteDance also secured financing from a syndicate of 12 other banks. This syndicate includes major banks such as Morgan Stanley and Goldman Sachs. TikTok users rapidly increased in number, reaching more than 3.5 billion downloads by early 2021. In late 2021, Yiming stepped down as the chairman of ByteDance, passing his role to Liang Rubo, who now serves as both the chairman and CEO. Let’s cover what we know about TikTok and ByteDance and whether investing in TikTok could be possible now or in the future. The average user spends 52 minutes on TikTok daily, and Android users spend 68 billion on TikTok annually.
EquityZen’s network includes over 350K accredited investors interested in buying private company stock. TikTok is a short-video sharing app and social network platform. Their mission is to capture and present the world’s creativity, knowledge, and precious life moments, directly from the mobile phone.
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 long term forex trading 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.
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 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.
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.
Who owns ByteDance stock?
One of the main social media platform sites you can buy stock in is Meta (which owns Facebook, Instagram and WhatsApp). As we move into 2024, you can’t think of the term ‘social media’ and not also think of TikTok, as it’s a platform that’s firmly cemented itself in the public (and most people’s phones, too). A growth stock mutual fund has stocks that are poised for long-term growth, offering potential for high returns and investment success. Walmart is set to acquire 7.5% of ByteDance, the parent company of TikTok.
- This uncertainty is reflected in ByteDance’s fluctuating valuation, with recent private market transactions valuing the company between $220 billion and $300 billion, a notable drop from its $460 billion peak in 2021.
- Previously, she worked at ELLE DECOR as an assistant digital editor, covering all things luxury, culture, and lifestyle through a design lens.
- However, there are still ways for investors to gain indirect exposure.
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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.
When is the TikTok Stock IPO?
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.
ByteDance: From Private to Public ➡️
Our partners cannot pay us to guarantee favorable reviews of their products or services. As the company kept growing in valuation, plenty of discussions online about taking ByteDance public began to surface, but crucially, this has yet to happen. Still, as far as relatively seasoned and even novice investors are concerned, the main point of interest here is whether TikTok has had any kind of foray into the stock market.
Tasha Schumm is a skilled writer with a passion for simplifying complex topics. With a focus on corporate taxation, business taxes, and related subjects, Tasha has established herself as a knowledgeable and engaging voice best way to trade forex profitably in the industry. Her articles cover a range of topics, from in-depth explanations of corporate taxation in the United States to informative lists and definitions of key business terms.
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Accredited investors 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.
TikTok Stock Price and Potential Valuation
- The company’s shares have rallied to new highs this year as investors warm up to the potential of these initiatives and their positive impact on future growth prospects.
- Examples are hypothetical, and we encourage you to seek personalized advice from qualified professionals regarding specific investment issues.
- However, ByteDance has yet to go public, meaning you can’t directly buy shares of TikTok or its parent company—at least not yet.
- However, the deal was never finalized and is now under review by the Biden administration.
It serves as a video sharing channel where individuals can showcase their talents, participate in trends, and explore a diverse array of content. TikTok emphasizes user interaction and community building alpari review within the realm of entertainment and social networking. TikTok’s parent company, ByteDance, is an exciting business for investors.
In April 2022, TikTok announced a strategy to locally store its European users’ data. The way the app is designed could keep users scrolling for extended periods. The BBC reported in 2020 that TikTok has an “extraordinarily powerful algorithm, which learns what content users like to see far faster than many other apps.” TikTok’s parent company, ByteDance Ltd., is a Chinese company founded in 2012 by Zhang Yiming. ByteDance is based in Beijing, China, though the company has offices in major cities worldwide, including New York, Los Angeles, Sydney, Mumbai, Paris, and Berlin.
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