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Something weird

Something weird The weird thing is that Apple, the company that makes iPhones and iPads and all those awesome gadgets is now the second biggest US company, behind Exxon Mobil and has a market cap of 306 billion Dollars. Yet, wait for it folks, trades on 19 times current earnings estimates (for 2010) and 17.4 times for 2012. Apple trades on 4.7 times revenue, Facebook at 25 times on this new "valuation". So, If Facebook want a similar valuation, they would have to grow revenue five fold over the next two years or so. Google for the record trades on 24 times historic earnings BUT 8.4 times revenue. So, Facebook would only have to triple their revenue to be at the same sort of revenue valuation. Hah...


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