Facebook Enters Sophomore Stock Year with Fewer Skeptics
"We believe rising estimates will pull up the multiple and 45x still comfortably falls between GOOG's 15x multiple and LNKD's 100x," writes Salmon.
Facebook shares rose 2% in Monday afternoon trading to $26.43, an over 50% increase share price lows hit in early September. Year-to-date Facebook's shares are off over 30%, even after a late year stock rebound on an improving earnings outlook.
For more on Facebook, see why the company's valuation shouldn't be a trick question on Wall Street . Also see why a venture capital investor suggests thinking long term on Facebook after its weak post-IPO performance.
-- Written by Antoine Gara in New York