Forbes ran an article recently describing how some social media companies may be deferring revenues of digital purchases by classifying them as "durable goods",

Forbes ran an article recently describing how some social media companies may be deferring revenues of digital purchases by classifying them as "durable goods", which could be seen as a way to make themselves more attractive as an ongoing investment. The Forbes article is quite skeptical. Worth a read: http://www.forbes.com/forbes/2012/0507/features-social-media-zyga-facebook-groupon-phony-accounting_print.html http://www.forbes.com/forbes/2012/0507/features-social-media... Your $36/year is revenue, not earnings [1]. Unless I'm misreading the numbers, both P[2] and ZNGA[3] still have yet to report a profit and establish actual ratios for P/E. [1] http://en.wikipedia.org/wiki/Earnings http://en.wikipedia.org/wiki/Earnings [2] http://finance.yahoo.com/q/ks?s=P+Key+Statistics http://finance.yahoo.com/q/ks?s=P+Key+Statistics [3] http://finance.yahoo.com/q/ks?s=ZNGA+Key+Statistics http://finance.yahoo.com/q/ks?s=ZNGA+Key+Statistics