Monday, March 5, 2012

Facebook: Is it Worth $100B? Or More?

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SharePost currently pegs Facebook valution at $100B, making it one of the top five US IPOs of all times. The recent performance of Yelp’s IPO illustrates what could be unprecedented interest in the stock. This hype lends itself to knee-jerk reactions in both directions: those who must have the stock and those who wouldn’t touch the stock. While only the preliminary prospectus is available and the pricing range has not yet been set, this article takes an early look at metrics for evaluating the Facebook IPO. (Further evaluation will be necessary as the IPO approaches…)

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