Face book

Absolutely unbelievable , that this thing is worth more than the likes of home depot or pepsi but even more than wally mart? All in about three years too. I swore after the disaster of an IPO and stagnant/drifting lower SP I never thought it'd be back to it's original IPO, maybe a little more but I wasn't about to touch it. Hindsight, one thing the market's good at teaching you(or is that it isn't good at teaching you?). Anyhoo...

Facebook sets record for rise to $250 billion

"..The social network company’s 2.4 percent climb to a record close on Monday, just over three years after its IPO, made it the first company in the Standard & Poor’s 500 Index to breach that market cap so quickly. The previous record holder was Google Inc., which took about eight years.

Facebook’s rapid ascent may indicate investor confidence that the company will continue to increase mobile-advertising sales on its application and others. To some degree, the gain also reflects froth in tech stocks; the Nasdaq Internet Index has almost doubled since Facebook went public..."

NOW THE SCARY PART,IMHO ANYWAY, OR ATLEAST WHY CAUTION SHOULD BE USED AT THESE LEVELS

"Its shares trade at 87 times earnings, almost five times the average in the S&P 500. Companies in the Nasdaq Internet Index trade at a price-earnings ratio of 27.

“When you see stocks with these high multiples, it shows you the market’s comfort in the longer-term growth story,” said Paul Sweeney, an analyst at Bloomberg Intelligence. “Investors think Facebook is more valuable than the average Nasdaq stock...”

I believe it.

I wish AAPL would catch fire like this.

A colleague and her husband bought into Google when it first came out.
They kept it...I forget...days or weeks, not months.
They sold it and bought her a big diamond ring.

Some of the stuff they're doing with virtual reality (Oculus) is amazing. I dont know what the revenue stream from that will ultimately look like - but its safe to say gaming is going to be many echelon's beyond what we know of it today - and Facebook is arguably the market champion in that research.

I wouldn't pay 80X earnings for Facebook on that information....but they're doing alot more than putting ads on your social network.

So, if I get the gist of this, internet time on the facebook site is more profitable and/or valuable than, say, making things that help us all stay alive. If that's the current sociofinancial reality, I'm saddened.

It's why I call it wastebook, pretty much a complete waste of time. People get on there and update what they're doing throughtout the day, "..at the bank drive thru" or "...gettin' in the shower now". It could be a really useful tool to keep in touch and share pics with friends and family from far away, somehow it got completely bastardized.