For once and for all, markets value companies based on future growth prospects rather than current results. Markets are betting that Google has a better growth

For once and for all, markets value companies based on future growth prospects rather than current results. Markets are betting that Google has a better growth prospect vs. Microsoft - which I do not doubt. Similarly is the reason why Twitter is valued at $30B with less than a billion dollar in annual revenue - there is a reason for that and the reason is future growth. You can argue that Twitter or Google may not grow as fast/much as what market is predicting - but that valuation is based on future earnings and NOT present earnings. So you comparing the current balance sheets/income statement to determine market caps is a futile exercise.