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**inilbowly** · 06-06-2012, 01:58 PM

even @ $25 the market cap is $55 Billion.

since the company has already grown like a cancer, any P/E ratio higher than 20 seems very unreasonable.

just as Zuckerberg stole the software to start Facebook, Facebook is vulnerable to another start-up, e.g. Instagram. they can't buy all the start-up's - and many tech entrepreneurs would want nothing to do with Zuckerberg.

$1 billion a year earnings x 20 = $20 Billion - a very optimistic market cap.

$9 stock price gives FaceBilk a $20B market cap - which is still very optimistic.

so FaceBilk might be a "bargain" at $4 a share.

They won't be able to earn a billion a year for long either. I'll give it a couple of years and they'll make a loss...

06-06-2012, 01:58 PM	#37
inilbowly Join Date Oct 2005 Posts 497 Senior Member	even @ $25 the market cap is $55 Billion. since the company has already grown like a cancer, any P/E ratio higher than 20 seems very unreasonable. just as Zuckerberg stole the software to start Facebook, Facebook is vulnerable to another start-up, e.g. Instagram. they can't buy all the start-up's - and many tech entrepreneurs would want nothing to do with Zuckerberg. $1 billion a year earnings x 20 = $20 Billion - a very optimistic market cap. $9 stock price gives FaceBilk a $20B market cap - which is still very optimistic. so FaceBilk might be a "bargain" at $4 a share. They won't be able to earn a billion a year for long either. I'll give it a couple of years and they'll make a loss...
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