Politics and Religion

Is Facebook worth a 100 billion?
marikod 1 Reviews 2508 reads
posted

That is reportedly the valuation the company plans to give itself when it prices its IPO.

    Okay, I admit I have never used Facebook. I watched the movie last fall but all I remember is that I wanted to punch that guy in the nose – not my kind of guy.

      How exactly does Facebook make money? Well basically, those annoying display ads.

    Yeah that worked really well for AOL. In the early days of AOL, you could not even sign off without clicking “no” to an ad “do you want buy a weed whacker?”

    Basically it seems to me they are valuing the company by eyeballs – 500 million users a day. No thank you, I’ll stick with the good old price earnings ratio myself.

      But there will be some big winners out of this. Do you live in Silicon Valley / Palo Alto? Housing prices are about to jump 20% as a new group of millionaires prepares to trade up. Good time to be a real estate broker though.


-- Modified on 1/27/2012 2:58:54 PM

MSHSEX1779 reads

Depends on who you ask. VC firms who have invested in FaceBook say yes (based on their financial  investments for equity) say yes.

The true arbiter of market value will be what market investors are willing to buy/sell the stock for.

Personally, I say "no, FaceBook is not worth a $100B".

Posted By: marikod
      That is reportedly the valuation the company plans to give itself when it prices its IPO.

    Okay, I admit I have never used Facebook. I watched the movie last fall but all I remember is that I wanted to punch that guy in the nose – not my kind of guy.

      How exactly does Facebook make money? Well basically, those annoying display ads.

    Yeah that worked really well for AOL. In the early days of AOL, you could not even sign off without clicking “no” to an ad “do you want buy a weed whacker?”

    Basically it seems to me they are valuing the company by eyeballs – 500 million users a day. No thank you, I’ll stick with the good old price earnings ratio myself.

      But there will be some big winners out of this. Do you live in Silicon Valley / Palo Alto? Housing prices are about to jump 20% as a new group of millionaires prepare to trade up. Good time to be a real estate broker though.

MSHSEX1437 reads

I don't know many who want to either. FaceBook's IPO will be the epitome of the dot.com bubble redux.

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