NEW YORK (TheStreet) -- Although it's the top pick in social media, Facebook (FB) has not been exempt from the recent selloff in momentum stocks. Although its shares are up 8% year-to-date, they have tumbled over 15% since March 10, when the stock hit a new 52-week high.
Facebook stock was trading at $58.60 late Tuesday, with a price-to-earnings ratio of 74. That's not cheap, per se, but in my view the price actually doesn't seem too expensive.
Based on forward-looking numbers for fiscal year 2014, the company trades at 40.5 times earnings. Lofty valuation, that is, until you consider that earnings per share and revenue are expected to grow nearly 65% and 51%, respectively.
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