Learn why profits matter. Snapchat, the social media turned camera company went public last week. It was the biggest IPO Wall Street has seen since 2009. With little revenue (and much of it mysteriously appearing right before the IPO, like $1 billion from Google), it is nowhere near worth a $24 billion valuation! Years ago Facebook tried to buy it for $3 billion which was very generous. SNAP's $30B market cap, 74X sales and $15million per employee. Could be the sign of the peak of the stock market bubble here. SNAP lost $514 million last year and says “it may never be profitable” according to Business Insider. You have to detach yourself from looking at a stock price and look at this as a business you’re investing your hard earned money into. There are many established, profitable businesses with market valuations less than SNAP. I'll post a chart on my website in the show notes. According to IBD, “Snap is set to be the first IPO of a high-profile unicorn since the term, which describes privately held companies with a market valuation of $1 billion or more, emerged. More than 200 firms currently fit that definition with a total valuation near $760 billion, according to TechCrunch.” I’m having major deja-vu from 1999. Valuation matters. Even if the price rises, this is all hype and not much substance, so I would steer clear of this unicorn. I think it’s aptly named, since unicorns are just a made up illusion. Move your net worth in the right direction by getting “11 Quick Financial Tips to Boost Your Wealth” at www.lindapjones.com.