ByteDance Stock: 6 Ways To Invest In Social Media

Here’s what you need to know if you’re interested in investing in TikTok. Shares of ByteDance aren’t publicly traded, but accredited investors may be able to buy shares from existing shareholders in a private market exchange. Investing in private companies may be considered highly speculative and involves a high degree of risk, including the risk of substantial loss of investment.

As of November 2021, ByteDance was partially owned by global investors (60%), employees (20%), and co-founders Zhang Yiming and Liang Rubo (20%). TikTok is owned 100% by ByteDance, a privately held Chinese technology company. KKR participated in ByteDance’s Series E funding round in October 2018. In total, 12 investors invested $3 billion at a valuation of $72 billion.

Buybacks by private companies are often a way for shareholders to make a return on their early investments, especially when there is no liquidity event like an initial public offering or acquisition. EquityZen helps investors to access private companies and their employees to sell shares. KKR is one of the world’s oldest alternative asset investment management firms.

Its investments range from private equity, like ByteDance, to energy, infrastructure, real estate, credit, and hedge funds. This progress is evident through its commendable revenue generation and the constant expansion of its active user base. Meta Platforms Inc., with its array of platforms such as Facebook, Instagram, WhatsApp, and Oculus, has experienced consistent growth in its user base. As of Q1 2023, Meta’s most popular platform boasts a whopping 2.98 billion monthly active users, showcasing its immense popularity. You cannot buy ByteDance stock directly because ByteDance is not a publicly listed company. You can buy stock in the private equity companies that own ByteDance, KKR, and Softbank.

It develops and operates several artificial intelligence (AI)-based products such as TikTok, Douyin, Toutiao, Xigua Video, BuzzVideo, and News Republic. ByteDance is not a publicly traded company so you cannot buy its shares directly. EToro is one of the world’s most popular investing platforms with over 28.5 million users. Bytedance also operates a series of products popular with mobile users around the world, including TikTok, Topbuzz, Flipagram and a number of UGC short-form video apps.

Investors should consider these compelling growth trends when assessing Snapchat’s potential for future success. Despite challenges, the company’s ability to generate substantial revenue and attract a growing user base showcases its resilience and adaptability in the ever-evolving digital landscape. Investing in SoftBank Group Corp offers an opportunity to become a shareholder in ByteDance. Serving as a holding company, SoftBank Group Corp effectively manages its diverse group of companies. To reiterate, ByteDance stock is not available on any exchange at this time.

  1. With nearly 200 million daily active users each spends an hour every day on their products, the company is dedicated to building connections between people and information.
  2. Since then, its IPO plans have been on ice and management has made no indication of when it will go public.
  3. We’ll break it down based on whether or not you’re an accredited investor.
  4. If/when ByteDance goes public, you’ll be able to look up its stock symbol and buy it in your brokerage account.
  5. The latest round of buybacks for shareholders comes just under a month after ByteDance offered to repurchase restricted stock units (RSU) or options from employees for the same price of $160 per share.

SoftBank Group (SFTBY) is a Japanese technology and telecom conglomerate best known for its investment arm which focuses on disruptive technology. Its list of previous investments includes Alibaba (BABA), Nvidia (NVDA), Uber (UBER), bytedance stock symbol Slack, and more. What’s more, an early investment in any of the above platforms would have generated massive returns. These robust business and user growth figures highlight Snapchat’s ability to resonate with diverse demographics.

How to Invest in TikTok in 2024

The firm has been hit by a slowing Chinese economy and by stricter domestic regulation in the internet sector. Tech Breakthrough LLC is a third party and has no affiliation with EquityZen. Learn how you can make money from the wave of seasoned companies innovating in AI and new AI tech companies.

Can You Buy ByteDance Stock?

If the company decides to go public in the future, the ticker symbol will be released in the filings. For now, ByteDance is a privately-owned company, meaning that ByteDance stock is not available on the stock market. Start investing in ByteDance and hundreds of other private companies on Equitybee. The latest round of buybacks for shareholders comes just under a month after ByteDance offered to repurchase restricted stock units (RSU) or options from employees for the same price of $160 per share. Bytedance’s flagship product, Toutiao, is the largest AI-powered content platform in China. Toutiao delivers personalized content recommendations to every user based on their interests.

Equitybee gives accredited investors access to hundreds of private, VC-backed startups before they IPO. However, it does offer some employees restricted stock units, which vest over time as long as they remain employed. While TikTok’s user growth may be slowing from the astronomical levels it saw in previous years, it’s just starting to ramp up its advertising business. The company generated about $10 billion in global ad revenue in 2022. Overall revenue for ByteDance came in at $85.2 billion that year, generating $20 billion in operating profit. Its most notable holdings include Alibaba (BABA -0.21%), T-Mobile (TMUS 0.48%), and chip-designer ARM (ARM 3.74%).

By funding employee stock options, investors like you can own stakes in private companies at past valuations. In exchange for funding the options, you will receive a percentage of future proceeds from successful liquidity events. Equitybee gives accredited investors access to hundreds of high-growth, VC-backed startups. You can become an investor in private companies like ByteDance, Stripe, and Reddit.

In an attempt to alleviate concern, TikTok proposed Project Texas, which would move all U.S. data into a third-party cloud that only a team of U.S. residents could access. In March 2023, The FBI and DOJ launched an investigation into TikTok and asked TikTok CEO Shou Zi Chew to appear before the House Energy and Commerce Committee. Similar to KKR, you could invest in SoftBank to gain some exposure to ByteDance, but you should also do your due diligence on the other 98% of its portfolio. If we assume it still holds a $1.1 billion stake, ByteDance makes up 2.0% of its market capitalization ($52.5 billion). KKR is a $71.2 billion company, so this $1.4 billion stake in ByteDance represents 1.9% of its total business.

Alphabet Inc. experienced a substantial increase in revenue over the last five years. In 2022, YouTube alone generated $29.2 billion in revenue, marking a 1.3% year-on-year increase. Our February report reveals the 3 «Strong Buy» stocks that market-beating analysts predict will outperform over the next year.

About ByteDance Stock

There are dozens of investors in ByteDance – primarily venture capital firms. Even companies like Goldman Sachs and Morgan Stanley have some exposure to ByteDance. Softbank Group may own a significant portion of ByteDance shares, and Kohlberg Kravis is a NYSE-listed investment firm which also owns a portion. Many Chinese tech companies face similar challenges regarding regulation, and any small start-up must overcome deep-pocketed competitors. As long as you understand those risks, investing in TikTok through a private equity asset management firm may be suitable for your portfolio. ByteDance has no exchange-listed stock price because it is not publicly traded.

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Investors must be able to afford the loss of their entire investment. See our Risk Factors for a more detailed explanation of the risks involved by investing through EquityZen’s platform. Getting access to a private market with someone offering to sell ByteDance shares at a price you’re willing to pay isn’t easy — or even possible — for most investors. However, two publicly traded investment companies hold shares of ByteDance, and anyone can buy shares in them.

You can invest indirectly in ByteDance by buying shares of SoftBank Group or Kohlberg Kravis. You can still invest in the company even before its IPO, if you’re willing to take a more roundabout approach. There is no timeline for the completion of the share repurchases, but ByteDance has asked shareholders if they’d like to sign up to the program, the person said. Get stock recommendations, portfolio guidance, and more from The Motley Fool’s premium services. Volatility profiles based on trailing-three-year calculations of the standard deviation of service investment returns.

KKR is also competing with other asset management firms for investors, putting pressure on its fees. 2009 is committed to honest, unbiased investing education to help you become an independent investor. 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. Snap has experienced remarkable user growth, showcasing its appeal and effectiveness as an advertising platform. As of Q2 2023, Snapchat boasted nearly 400 million active users worldwide daily.

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