Jim Cramer: Facebook and Alibaba Going in Two Different Directions
TheStreet's Jim Cramer says Facebook is accelerating its growth while Alibaba is still growing but not at the same pace.
Facebook topped Wall Street revenue and profit forecast for the seventh quarter in a row. The company reported fourth quarter revenue of $3.85 billion -- that's a 49% increase from the previous year. TheStreet's Jim Cramer says Facebook is accelerating its growth and could earn $3 next year if it wanted to. He thinks the company deserves a 30 multiple. And speaking of 30 multiple, Cramer says Alibaba is a much more expensive stock now than Facebook. He says that's because while Facebook is accelerating its growth, Alibaba is still growing but at a slower pace. Facebook, on the other hand, is monetizing and could be bigger than ABC, CBS, NBC and ESPN by 2017 if they wanted to.
