. Read the article 16 Firms Worth Billions Despite Losing Money.

Discussion terms:

a) As of August 2017, Twitter (TWTR N) has a market capitalization (or stock market value) of 12.49 billion but as yet, as a company to be profitable. Is the stock market rewarding Twitter shareholders for Twitter lack of profitability?

b) Every day in the nightly newscasts, the report of the stock market indexes are posted and the changes in the value of the stock market commented. Are stock markets a proper indicator on the health of corporations? Are the stock markets a proper economic indicator?

Is issuing shares for financing still a proper financing tool?

Is issuing shares for financing realistic for a start-up or small company?