It was NASDAQ that really screwed up!!! How Facebook's Stock Selloff Nearly Turned Into a Run
“One must think long term”
Frankly, I shudder to think long term about Facebook, as an investment. Just today, it was revealled that Facebook itself has concerns over the effectiveness of banner ads, on mobile devices....and for more and more people, smartphones are how they access Facebook.
But beyond the effectiveness of their advertising, I question their strongest selling point: their ability to gather information on its users. IMHO, most users put forth a ‘dating profile’ persona on Facebook. They want to make a good impression...they’re politcially correct, etc. I don’t think users of Facebook will ever be as honest about themselves as somebody doing a search on Google...the Google search feels more anonymous, and people let their guard down. And, if Facebook can’t match Google on information gathering, why bother...and why assume that it will magically start making 7-8 times its current earnings.
And, of course, there is always the risk of a Myspace death spiral.
Just my opinion of course.