No. It's 1999 all over again and IMO, the current valuation ($85BN on ±2.5B shares) is insane.
Can anyone honestly tell me they think FB is worth more than all other domestic advertising spent last year?

And what's the honest-to-god conversion rate for all those ad impressions, anyway? 5 percent?
AdWords manages twice that... because it's demand driven and focused by the viewer.

 

I'm looking to start dabbling in trading, but I'd skip this. Everyone and their dead sister will be hopping on this, stock shares would be through the roof, and in my opinion I don't see it shooting up enough to make good money off of the few shares I could afford.

Remember, though, that I don't know what the hell I'm talking about.

 

i have a friend that does foreign exchange and he stated he'd stay the hell away, the market is poised to crash again. any thoughts?

 

As nice as Facebook is, it's just a huge fad that grabbed a small internet niche and blew it up. Something else will come along (as always does nowadays) that will render Facebook obsolete.

The good thing is, eventually you hear about it word-of-mouth before it explodes.

 

thank god someone understands what happened

 

this

 

No, I probably wouldn't. I'm worried about it being overvalued compared to the company's actual worth and revenue potential.

But then again, that's the same thing I said when Google stock IPO'd at ~$85. Now those shares are worth ~$578 today. So maybe I should buy into Facebook. h:

 

it might be hard to get them if you think about it.

 

the value of stock is the worth of the company plus what its expected to do. There are people whose job it is to just find cheap stocks and buy them so I feel like the market value for stocks are pretty representative; exceptions are 1. luck, and 2. you somehow have access to information faster than anyone else. I'll be whatever the IPO for facebook is will either be overblown or just right; I'd wait a bit and then buy it. Although Google's IPO was a fucking amazement. Opened at $85 and its worth almost $600 in under 8 years! Nevermind I have no idea wtf I'm talking about. I just bought more shares of Goldman Sachs, buy low and maybe sell high .

 

You give me way too much credit... h:

I'm no expert. I just think that social media is over-valued as an investment.
All the ad impressions FB has aren't worth much if people don't have jobs and the discretionary income they generate.