Its not listed but tech stocks like apple and google hover around 15-20 P/E. That means that the FB has to grow their earnings so their P/E ratio ends up being

Its not listed but tech stocks like apple and google hover around 15-20 P/E. That means that the FB has to grow their earnings so their P/E ratio ends up being in line with the industry or their stock falls. I.e. either Price moves or Earnings move. This doesn't happen immediately - right now LinkedIn is around 1,000- but the market or company needs to correct itself overtime. While its "correcting" that means earnings will go up w/o the price doing the same thing. That means as a current shareholder, lots of future value accretion has already been priced in (i.e. the stock wont rise like Google or Apple in the last 10 years, which was being fueled by increased earnings). Of course P/E is only 1 metric, but its a really important one.