Square (NYSE: SQ) is coming public as a $1B revenue company with quite a few moving parts.
There's the negative margin Starbucks business which is going away, plus the "ratchet" provision whereby prior investors will have their number of shares adjusted based on the IPO price to preserve their prospective returns. We suspect it will take at least a quarter or two for analysts and investors to get a better understanding of how the long-term model will develop for Square. It helps to have a starting point so we're publishing our initial IV model . . .

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