In the last quarter, sales at FB grew 53% to $1.81 billion from the year-ago same quarter. Sales profits were goosed by a big increase in mobile and local ad sales. FB posted a profit for last quarter of $333 million, or 13 cents per share. Its mobile advertising business increased by 75% and was a big contributor to sales growth. It made up 40% of FB's ad sales. It's hard to compare Facebook with other companies. The closest comparison might be LinkedIn (LNKD - Get Report), which reports its latest quarterly earnings after the market closes on August 1. LNKD shares are trading above $200, at a PE ratio of an astounding 793. That means the stock sells for approximately 793 times what it earns per share (EPS). That beats Netflix (NFLX - Get Report), which trades at 604 times earnings. The chart below illustrates the one-year price movement of both stocks. LNKD data by YCharts
Visionary investors who purchased shares of LNKD last September have 100% plus gains. NFLX investors who may have purchased at the same time at around $60 a share have over 400% gains! Amazing! Since I'm not one of the investors who purchased either LNKD or NFLX last September, I'm qualified to be one of those "drips under pressure" (ex-spurt) when it comes to whether to hold or sell Facebook. Thus I encourage you to do what you believe is best with FB and don't do as I did just because I did it. There are scores of articles out there with opinions, statistics and biases to compare to mine.