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I think you confused P/E ratio - the E stands for earnings (profit), not revenues. Facebook's P/E ratio is almost certainly negative at this point, but they ar
by marciovm123 17y ago
I think you confused P/E ratio - the E stands for earnings (profit), not revenues.
Facebook's P/E ratio is almost certainly negative at this point, but they are growing so fast that P/E ratio is not a good way to predict their market cap.
- nl 17y agoUmm yeah. Fair point. I agree it's pretty crazy to try & predict this, but still... If they have profit margins similar to Google, then they'd still be a $7 billion company (and I'd argue their P/E will be much higher when they float)