
Facebook Passes EBay in Value, Becoming No. 3 U.S. Web Company - ssclafani
http://www.businessweek.com/news/2010-11-15/facebook-passes-ebay-in-value-becoming-no-3-u-s-web-company.html
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albahk
You cannot meaningfully compare valuations of a public and non-public company.

eBay has to disclose honestly (under threat of tough securities laws) all its
financial information and major decisions to analysts who look for weaknesses
and holes. Anyone can dump all their ebay shares instantly if the company
starts to stink too much.

Facebook shares are not subject to any outside scrutiny and those that do hold
them are in a privileged club. If you are in that club, you will talk up your
investment because your payday is coming soon (IPO). Even if the company
stinks, you need to keep up the appearance that it smells like roses until you
get your payday. Once Facebook opens up to the public market analysts then we
can see how much it is worth, until then its all rubbish.

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RtodaAV
Sorry but this is funny.

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zaidf
What part?

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RtodaAV
Why would they compare a proven company to a company that hasn't broke a
profit yet?

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_delirium
Most reports have Facebook turning a profit in 2009, though since they aren't
a public company it's hard to verify any of the financials.

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RtodaAV
If they did, I would expect a IPO around now then.

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qq66
why?

