Nextdoor Holdings
🧟 ZombieTrust Size
$415M
Peak Price
$17.00
Current Price
$1.80
Return
-82.0%
Peak Market Cap
$8.7B
What Happened
Neighborhood social network went public via Khosla Ventures SPAC at $4.3B. Crashed 90% as advertising revenue growth stalled and user engagement disappointed.
Nextdoor merged with Khosla Ventures Acquisition Corp II in November 2021. The hyper-local social network connects neighbors for recommendations, safety alerts, and local commerce. It had 33M weekly active users but struggled to monetize — local advertising is a brutally competitive market dominated by Google and Facebook. Revenue grew slowly while losses mounted. Stock crashed from $17 to under $2.
Projections vs. Reality
Projected Revenue
$600M
What they told investors
Actual Revenue
$210M
What actually happened
Hype-to-Reality Ratio: 35.0x
Key People
Sarah Friar
CEO
Ex-Square CFO, hired to scale the business
Vinod Khosla
SPAC Sponsor
Legendary VC, Sun Microsystems co-founder
Timeline
2021-07
SPAC merger announced
2021-11
Merger completed
2022-06
Stock falls 70%
2023-03
Layoffs, cost cutting
2025-01
Stock under $2
⚖️ Legal Actions
• Class action lawsuit filed by shareholders
📄 SEC Filings
View all EDGAR filings for Nextdoor Holdings
Risk Scores
Dilution Score
62/100
Insider Profit Index
55/100
Hype-to-Reality Ratio
35.0x
Projected ÷ actual revenue