Snap is vying to price its public offering in a range of $17 to $18 per share, putting the public offering above its range and value the company at $25 billion, sources told CNBC on Tuesday. The stock is expected to begin trading on Thursday.
"An IPO is a pricing war... If you're interested as an investor, you've got to ask, 'Is there value in this game?' While I think there are ways to get to $25 or $30 billion, I mean, those ways are tough to navigate. There are lots of things in the way...It's got to be Facebook lite," Damodaran said.
He gave the company a $14 billion to $15 billion valuation, or $11 a share, he said, which could be considered favorable for a company that posted a net loss of $514 million last year.