its not earning that drive stock price, its future cash flow. And Facebook doesn't have much, not for a $100 billion dollar company. Just look at Facebook crazy cash flow statement in its initial offering, and what up with $3.7 billion in Working Capital on its balance sheet, is that Account Receivable, means they are not get paid either. They have cash, mainly from debt and private investors. No, the market work just fine, I value this company at $10 billion, the stock price will probably reach $15 before they are bought out.
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steven chaisson of LA 8:54PM June 01, 2012