Last but not least is the granddaddy of them all, Facebook. Love it or hate it, they are making money, and have a boat load -- nearly $9.5 billion in cash and short-term investments on the balance sheet. The forward earnings estimates have the stock trading at 33 times the 2014 consensus, which is not a crazy valuation, assuming they can actually hit the consensus estimate.
The question here though, is whether there is "Facebook fatigue" happening among users, and in the end, whether this is all just a fad. While $9.5 billion in cash and securities is real, I'm not sure this company is worth its $62 billion market cap. Time will tell. Are any other Facebook users tired of seeing what little Bobby ate for breakfast that day?
What do I know? I'm just a simple value investor.At the time of publication the author held no positions in any of the stocks mentioned. Follow @JonMHellerCFA This article is commentary by an independent contributor, separate from TheStreet's regular news coverage.
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