I think this issue started with IPO. They raised capital at a higher multiple than what they needed. Now, their growth of 25-30% don’t need all this capital. So other avenues are being used.
In other words, I believe they are ahead of the P/BV. If they continue to grow at the same stage, there will be time correction as its happening now. The growth have to outpace the given multiple. Correct me if I am wrong, they are the highest or in top 3 of thier peers in terms of PBV valuation.
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