We develop high-quality free & premium stock market training courses & have published multiple books. We also thoroughly test and recommend the best investment research software. TikTok is the number one growing social media company, beating out Facebook and Snapchat. Also, word on the street is that big tech companies are chomping for a stake in the company’s success. 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.
Meta Platforms Inc. (Facebook) operates the largest social media ecosystem in the world. Meta owns four of the top social media platforms, including Facebook, Instagram, WhatsApp, and Messenger. The final option for acquiring shares in TikTok is to approach the other private equity firms that own a stake in the company. Each listing on Hiive is made by a different seller who sets their own asking price and quantity of shares available. Sellers may be current or former employees, venture capitalists, or angel investors. ByteDance is the Chinese company that owns TikTok, a social media platform that has become incredibly popular all over the world.
Privacy and safety risks
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. We believe everyone should be able to make financial decisions with confidence. 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.
After a series of lawsuits, injunctions, and administrative orders, TikTok agreed to a deal in which US companies Walmart and Oracle would take a minority stake in the company. He voiced concerns that reports suggested ByteDance might be a threat to US security. Despite its incredible success, TikTok has been banned in numerous countries due to accusations of spreading “immoral” and “dangerous” content. On our site, you will find thousands of dollars worth of free online trading courses, tutorials, and reviews.
Is Investing in Social Media a Good Idea?
Besides adding effects like filters, background music, and stickers to their videos, users can also collaborate from different locations bitcoin btc to tether usd exchange across the globe. Our partners cannot pay us to guarantee favorable reviews of their products or services. The TikTok IPO is one that’s going to attract both casual and experienced investors.
Will TikTok go public in the future?
- TikTok is 100% owned and controlled by ByteDance, a private Chinese technology company.
- Here’s what you need to know if you’re interested in investing in TikTok.
- In June 2020, TikTok was banned in India, the world’s second-largest country by population.
- More interestingly, this Internet start-up giant uses Artificial Intelligence to claim its foothold in the global social media networks of the world.
- Several social media companies offer similar products to TikTok Global.
Of the publicly traded social media companies surveyed here, only Facebook (FB) and Tencent Holdings (TCEHY) make money. TikTok, a video-sharing app, is one of Earth’s most popular media products and one of the fastest-growing social media apps. Snap Inc., the parent company of the popular social media platform Snapchat, has made recent business news with several key developments. One significant piece of news is Tencent’s cost-cutting measures and strategic shifts in response to a challenging regulatory environment and a slowdown in the tech sector. The company has been reducing its workforce in some areas and selling off portions of its investment portfolio, including a stake in Meituan, to raise capital.
FinanceBuzz and CardRatings may receive a commission from card issuers. You could invest in either of these companies using one of the best brokerage accounts. You could also invest in ByteDance itself when it goes public, using the same account. China is far from the only country that has made moves to keep people away from TikTok. In June 2020, TikTok was banned in India, the world’s second-largest country by top 7 reasons why you should outsource a software project population.
Neither TikTok nor its parent company, ByteDance, Ltd., are publicly traded companies, so neither has a stock symbol. The prospects for a ByteDance or TikTok initial public offering (IPO) anytime soon grew a bit dimmer in late 2022. Amid slow progress on the IPO, ByteDance bought back $3 billion in shares at a $300 billion valuation to allow early investors to cash out some of their equity without an IPO. In late 2023, ByteDance offered to buy back 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.
Currently, you cannot buy TikTok stocks on either of these platforms (or others), but you might be able to in the future. The platform has a surprisingly advanced set of video editing tools, which has allowed users to make some extremely creative and technically impressive videos. Parent company ByteDance’s valuation was raised to $200-$400 billion recently, according to a private equity fund.
The bulk of TikTok’s revenue is generated from advertising and in-app purchases. A rapidly growing user base has also led to a massive jump in revenue. Some pre-IPO trading platforms may let you trade the equities of ByteDance ahead of its IPO. One such platform is EquityZen, which offers several ways to invest in pre-IPO equities.
People come here to learn, hang out, practice, trade stocks, and more. Our trade rooms are a great place to get live group mentoring and training. The US government isn’t the only country concerned with privacy issues from Chinese apps; India banned TikTok and other Chinese apps just last month.
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The situation currently facing ByteDance and by extension TikTok remains highly fluid. The LST Beat the Market Growth Stock Strategy is a proven system that has outperformed the S&P500 in 8 of the last 9 years. We provide all of the research and data needed to make informed decisions, so you no longer have to spend hours trying to find good unicorn companies are rare so why do venture capitalists persist stocks yourself. Many people will assume TikTok Global will not make money because of the track record of companies such as Snapchat (SNAP) and Twitter (TWTR). Some observers, including the management teams at Microsoft (MSFT), Walmart (WMT), Oracle (ORC), and ByteDance, think otherwise.