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marcamillion
on April 9, 2012
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Facebook acquires Instagram
Ahhh....good point. That does change the formula a bit, but even still...what's the likely 1 year return on pre-IPO FB stock? 3X if so much? I doubt it.
Anyway, it's better than 2X, so I guess they can't be pissed.
MaysonL
on April 9, 2012
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But, quite possibly, it could be .5X, or .25X... Current FB valuation is somewhere around 25X
revenue
...
dkrich
on April 9, 2012
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P/E is around 100.
jcitme
on April 9, 2012
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Honestly, in the tech industry, a 25 P/E ratio is yawned at.
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Anyway, it's better than 2X, so I guess they can't be pissed.