Sounds like they're chasing losses to me. Bet the majority of them still have stocks like JAVA in their portfolio, long at $50. Hope they all get caught again because one of the main facets about successful investment/speculation is that you MUST learn from experience/mistakes.
Everyone thought that Murdoch was insane when he paid half a billion for Myspace. However, this idiotic valuation of Facebook makes Murdoch look like a genius. The real question that you have to ask when valuing these Web 2.0 sites is - how much is a few months or a few years worth of access to their users worth? After all, the userbase of all of these sites is terribly fickle and will migrate to the latest and greatest thing. Friendster used to be the big thing, but they were usurped by Myspace who are now in the process of being usurped by Facebook. So, at the end of the day, what is the value of a fickle and temporary general market that isn't even targeted to a specific demographic?
Um wrong again Facebook and myspace dominate social networking, web 2.0 and will continue to do so for a long time, possibly forever. The userbase may be fickle but they dont have an alternative site to go to because odds of an alternative site succeding are exceedingly small. The social networking market is already satured like the PC market was in the 90's.
I agree but there will be a lot of money to be made from it in the future and it isn't going away anytime soon
it's all temporary fad money, not a sustainable quality profit stream. theres no long term value in this kind of junk.
The us and global economy is surging With the dow up 100 points facebook adds another .25 billion in valuation since the fed meeting today