Lets say there is a restaurant on an island and most of the people on the island eat at this restaurant. Now there are a few other restaurants, but by far 90% of the island eats at this restaurant....(Well call the restaurant Fish Bucket, or FB for short) So the owner of Fish Bucket decides he wants to sell. How much does he want to sell it for. Well the business makes $100,000 per year so the owner of Fish bucket, Mike Zacharyburg, decides to put it up for sale for $7,170,000. Now, we know the business can't keep growing much because nearly everyone on the island eats there, and there is always a risk that a new restaurant might pop up one day that sells better tasting fish. After all...Fish Bucket did once replace "MyFish" as the number one restaurant on the island some years back. So tell me...would you buy Fish Bucket for $7.1 million dollars when it only makes $100k per year and you know it cant grow much more and it runs the risk of being replaced by a new restaurant one day? Because Facebook and Fish Bucket are the exact same thing (at todays closing price of $20.72.) Fish Bucket is just scaled down. It shocks me that so many people just hear "facebook" and no price matters. The name is popular enough to justify the price in their eyes.