Although ByteDance shares aren’t publicly traded, accredited investors may be able to buy them from existing shareholders on a private market exchange. There are two ways to exit your private company investment on EquityZen’s marketplace. The first is if the company has an exit event like an IPO, merger or acquisition. In that case, we will distribute the shares and/or cash to you directly. The second way is through an Express Deal on EquityZen, if eligible.
- ByteDance’s decision not to go public yet stems from various factors.
- In addition to its one billion active monthly users, it was the most-downloaded app in 2021, with 656 million downloads.
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- But it was reportedly worth $400 billion as of October 2021, according to anonymous private equity trades that were shared online.
- ByteDance, TikTok’s parent company, could leverage an IPO to fund technological advancements and expand its user base.
The potential IPO is complicated by regulatory scrutiny in the US, where concerns over national security have led to discussions about banning TikTok unless it separates from ByteDance. 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. But just because you can gain some slight exposure to TikTok doesn’t mean you should. Going to such an effort to gain exposure to one stock may not be worth your time. If you’re looking to build long-term wealth, a better strategy may be to invest in funds that hold the stock of many companies, such as index funds or exchange-traded funds.
As ByteDance faces regulatory and operational challenges, its ownership of TikTok is both a triumph and a responsibility, necessitating constant innovation and vigilance. TikTok, which is valued at around $220 billion as of 2024, is reportedly considering an Initial Public Offering (IPO). However, the timing is still uncertain due to ongoing economic volatility and geopolitical challenges, particularly in the United States. An IPO could provide vital financial resources for ByteDance, TikTok’s parent company, allowing for additional investments in technology, user base growth, and innovative features that could reshape social media.
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When is TikTok going to go public?
- 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.
- Analysts think ByteDance powers TikTok with some of the world’s most sophisticated Artificial Intelligence (AI).
- While many users engage with the platform via its smartphone apps on iOS and Android, it is also possible to access TikTok via a web browser.
- UpMarket’s mission is to unlock the private markets for individual investors.
- However, this valuation does not reflect its market value or how much it would be worth if it went public.
Interval Funds are illiquid instruments, the ability to trade on your timeline may be restricted. Brokerage and Active investing products offered through SoFi Securities LLC, Member FINRA() /SIPC (). TikTok is a popular video-sharing app where users create and share videos up to 10 minutes long.
An Express Deal allows you to sell your allocation of private shares in a given private company to another investor on EquityZen’s marketplace. More information on Express Deals can be found here and exit information can be found here. ByteDance stock is not publicly traded, but you can invest in it directly through secondary platforms like EquityZen or indirectly invest by buying shares of its major investors, KKR (KKR) or SoftBank (SFTBY). Oracle is a business software provider with quarterly revenue as high as $9 billion. They have over $42 billion in cash and other short-term, liquid assets, making them a highly successful company.
In late 2023, ByteDance offered to repurchase stock from shareholders for $160 per share, valuing the company at $223.5 billion. It paid $170.81 per share in another buyback offer in early 2024 and $180.70 in late 2024, which put its value back at $300 billion. After selling out in a flash the first time, fashionistas are given another chance to acquire what might become this season’s hottest designer bag.
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You cannot directly buy shares of Tik Tok stock as a retail investor. However, you can invest in TikTok indirectly by buying shares in the private equity companies which own it. Until ByteDance announces an IPO, investing in TikTok could be done indirectly by investing in one of ByteDance’s backers or via a pre-IPO investment platform. Explore our list of the best investment apps or learn how to become an accredited investor to get access to exclusive investment opportunities. ByteDance, the parent company of TikTok, is privately held as of June 2022.
Business
To avoid the ban, TikTok struck a deal with Oracle and Walmart, which would create a new entity called TikTok Global that would be partially owned by the American companies. However, the deal was never is microsoft a good stock to buy finalized and is now under review by the Biden administration. Therefore, it is unclear if an American company will buy TikTok or not. KKR is an American investment firm that specializes in leveraged buyouts, mergers and acquisitions, and other transactions. KKR invested in ByteDance in 2018, but there are no exact numbers. If ByteDance does decide to go public, TikTok’s stock name (or ByteDance’s) will likely generate significant buzz.
TikTok Stock: IPOs, Prices & Valuations
It popularized the short-form video format, built an incredible content-recommendation algorithm, and is working on new ad technology to monetize it. But it’s also a high-risk investment because it faces potential challenges from regulators and deep-pocketed competitors. Investing in private companies may be considered highly speculative and involves a high degree of risk, including the risk of substantial loss of investment. Investors must be able to afford the loss of their entire investment. See our Risk Factors for a more detailed explanation of the risks involved by investing through EquityZen’s platform.
High-profile political figures, including Vice President Kamala Harris and former President Donald Trump, have established TikTok accounts to reach a younger audience. You can’t buy a direct TikTok stock, but you can invest in Oracle and Walmart, which are set to purchase 12.5% and 7.5% of ByteDance Limited, TikTok’s parent company. Once you’ve bought your desired number of TikTok shares, continue to monitor performance.
TikTok could send videos about hardware or tools to people who watch how-to videos for home improvement projects. Many people consider TikTok addictive because harami candlestick 90% of users claim to use the app daily. TikTok retains users at a rate of 26%; one out of four people who use TikTok becomes a regular user.
As of June 2022, TikTok does not have a stock symbol, as the parent company, ByteDance, is not publicly traded. Such platforms might not currently offer pre-IPO access to TikTok or ByteDance since the company faces regulatory uncertainty in China. However, this opportunity might become accessible in the future if ByteDance manages to push through with its IPO plans.
How to Buy ByteDance Stock Before its IPO
TikTok tends to appeal to younger users, which bodes well for the future. Nearly one-third of TikTok’s users are estimated to be under the age of 20, and more than 60% are under 30. While TikTok has over one billion monthly active users, it may still have room to grow. Both Facebook — now named Meta — and YouTube are estimated to have more than twice as many active users as TikTok. It could be challenging to understand what makes TikTok so successful.