PM Insights 2024 November in Review

Institutional secondary market-driven data insights covering a universe of private venture-backed companies.

December 2, 2024

Hill Chart Shape

PM50 Growth Index & Sectors YTD Performance

Return On Investment (ROI) from January 02, 2024 until November 30, 2024

PM50 Growth Privates versus Public Benchmarks/ETFs

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Indices from January 02, 2024 until November 30, 2024

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Public v. Private (12mo)

The PM50 Growth tracks the performance of the 50 most active private names observed in the secondary market. It is an equal-weighted index, rebalanced on a monthly basis.

This rebalancing of constituents over time gives way for more active names to participate in what we observe as "market performance," and in a more appropriate manner than static selections and weightings criteria.

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Private Market: Sector Level

|| Sector-level analysis for November, 2024

PM50 Growth index was up 5.04% with volatility of its ROI at 23%.

Neobank had the largest increase in ROI at 7.11% with volatility of ROI at 21%.

Hardware had the largest decrease in ROI at 1.13% and high volatility of its ROI at 47%.

AI had the highest volatility of its ROI at 55%.

Entertainment had the lowest volatility of its ROI at 4%.

MoM Return on Investment (ROI) for November

Volatility of ROI

The volatility of ROI is calculated based on the movement over the previous 90 days i.e. between September 2, 2024 and November 30, 2024.

Total Bid and Ask Volume and Ratio in November

The plot below shows the total bid and ask volume and their ratio within each sector for selected companies with significant activities.

40.80% of PM50 Growth's observed total volume of $3.0B was from bids.

eCommerce sector had the largest bid volume ratio at 71.49% of the total $269.27M.

Marketing sector had the largest ask volume ratio at 94.94% of the total $504.60M.

Mean Bid to Ask Spread in November

The plot below shows the mean bid to ask spread within each sector for selected companies with significant activities.

PM50 Growth's mean bid to ask spread was 8.3%.

Data sector had the largest mean bid to ask spread at 19.4%.

Payments sector had the lowest mean bid to ask spread at 0.8%.

Mean Volume per Indication Type

In 2024 average indication sizes peaked at $19.72M during June.  

Asks: In 2021 the average offer was $25.77M, and the yearly average has dropped dramatically to ~$10M between 2022 and 2024.

Bids: Similarly, the average bid in 2021 was higher than the following years. The average bid volume ranged from $6.93M to $33.59M in 2021, $6.12M to $30.78M in 2022, $8.21M to $16.37M in 2023, and $6.45M to $17.07M in 2024.

Trades: Trades volumes have been quite volatile, with lowest average volume of $1.22M seen on April of 2023 and largest average volume of $17.71M seen on June of 2021. The average trade volume for November of 2024 was 10.75M, which is the largest observed since the start of 2024.

Sectors

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Monthly Statistics

PM Insights highlights monthly statistics from January, 2021 until November, 2024.

Monthly PM50 Growth ROI

The plot below displays PM50 Growth's monthly ROI. PM50 Growth had the largest ROI at 16.25% in January 2021, and the lowest ROI at -10.5% in June 2022.

In November 2024, PM50 Growth's ROI was up by 5.04%.

Monthly Institutional Level Activity

The plot below shows the number of institutional level ($1M+) Bid, Ask, or Trade contributions on a monthly basis.

July 2024 had the largest activity with 797 contributions with a volume over $1M. April 2021 had the lowest activity with 183 contributions with a volume over $1M.

There were 339 unique institutional-level broker contributions in November 2024.

Monthly Total Bid and Ask Volume

The plot below displays the sum of bid and ask volume on a monthly basis, as observed by PM Insights.

June 2021 had the largest total volume at $21.10B.

December 2021 had the lowest total volume at $2.11B.

November 2024 had a total volume of $3.84B, almost half the total volume of September 2024, which was $6.62B.

Monthly Bid and Ask Volume Ratio

The plot below displays the ratio of bid and ask volume on a monthly basis.

January 2021 had the largest ratio of bids at 57.69% of the total volume $4.62B.

April 2022 had the largest ratio of offers at 94.21% of the total volume $12.78B.

November 2024 had 39.30% of the total volume $3.84B from bids.

Monthly Mean Bid and Ask Spread

The plot below displays the mean bid to ask spread on a monthly basis.

March 2021 had the largest mean bid to ask spread at 16.53%.

July 2021 had the lowest mean bid to ask spread at 5.26%.

November 2024 had high mean bid to ask spread at 13.19%.

Proportion of Change in Valuation

92% of companies in PM Insights' universe traded higher during their latest round compared to the previous round.

On the other hand, 62% of companies are trading at a discount versus their most recent round, and only 38% managed positive returns there, pointing to a ways to go to recovering some of the investments made in the heady days of 2021.

Change in Composite Price (MoM)

PM Insights highlights the top five and bottom five companies in terms of change in composite price between October 31, 2024 and November 30, 2024 with significant activities i.e. at least 3 institutional-level contributions.

xAI had the largest increase in composite price from $15.3 to $25.25.

EquipmentShare had the largest decrease in composite price from $14.41 to $12.97.

Change in Total Bid and Ask Volume (MoM)

PM Insights highlights the top five and bottom five companies with significant activities in terms of change in total bid and ask volume between October and November of 2024.

Databricks had the largest increase in volume from $22.68M to $141.28M.

DailyPay had the largest decrease in volume from $419.85M to $5.69M.

Most Active Names Performance

Data as of November 30, 2024

* Price (USD) estimated based on secondary market activity observed by PM Insights. Valuation is estimated based on said price and share count from state filings and/or news in the public domain. Note that share count in calculations may change as new filing documents are obtained.

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