When Facebook went IPO at $38 on a PE ratio of 100 times, I felt that it was too high. A proper PE ratio would have been 25 times. So, the correct price should be $10 and not $38. Well, the price has now come down ot $20 and will probably reach $10 in due course.
It is strange that the highly paid fund managers were buying the share at $40 and above. And they are supposed to be the experts in the financial world!
It is strange that the highly paid fund managers were buying the share at $40 and above. And they are supposed to be the experts in the financial world!
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