Posted on 05/22/2012 7:35:57 AM PDT by AngelesCrestHighway
Its an $8-$10 stock at BEST, and that’s only if they figure out a way to make money off mobile, which they haven’t yet.
The very idea this turd was worth $38 was ludicrous on its face.
Any institutional investor who bought into this, should be summarily fired. Anyone with money in a fund where a manager bought this turd should be pulling their money out immediately.
What idiotic world view lets you take a company with a total of $4 BILLION in revenue, and $1 Billion in profit, is worth $80-100 BILLION especially one who’s modest $4 Billion in revenue is likely to SHRINK as users move to mobile and they have currently no idea how to many any money off of mobile.
Yes, they have a huge subscriber base, and its a company that can be profitable, but that profitability doesn’t remotely justify the stock price.
Based on a 20 times P/E which, even that is higher than Google, FB is worth $8 a share or so at best.
You think I’m kidding? Not one bit. In fact Facebook is now one of my top-12 economy-killing triggers, any one of which could ignite a firestorm. These include: euro zone ills, overpopulation, China, climate crisis, Peak Oil, Fed’s cheap money, 2012 elections, austerity vs growth, high-frequency trading, extreme capitalism, and the Black Swan nobody ever sees coming till it hits, you know, a trigger like the 1914 assassination of an unknown archduke that ignited a world war.
That's right...this nitwit sees climate change, over population, Peak Oil and Facebook as world enders. Dope.
Facebook isn’t worth $4 a share with the amount of shares they have out.
Also, Facebook peaked a couple of months ago. If you take out the fake accounts and cheater accounts, I would venture to say that there are maybe half the advertised audience.
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