Market Cap Watch


#83

Apple: 886.6B (+3.8%)
Google: 717.0 (+2.2%)
Microsoft: 716.7 (+3.2%)
Amazon: 692.7 (+1.8%)
Berkshire: 486.7 (+0.6%)
Facebook: 477.9 (+4.6%)
Tencent: 468.9 (+0.8%)
Alibaba: 442.1 (+2.7%)

Broad recovery this week. Facebook finally caught a break after Zuck went to Washington. Microsoft is just 0.3B behind Google. MSFT is going strong after Ballmer.

There is still a 200B gap between the first half and the second half. Facebook, Tencent and Alibaba continue to be undervalued.


#84

Prove it.


#85

I will show you in our lunch.


#86

That would be after the fact :slight_smile: No need for dissertation :slight_smile:
Always thought you’re an investor, now you tell me you’re a historian?


#87

Proofs can only be done with facts. Theories are a dime a dozen. :wink:


#88

If you want to argue value, then it should be based on revenue, profit margin, growth rate, etc. That’s the correct way to value companies.


#89

Fb is undervalued, after the ca stuff. We know how it goes from efx, people forget, market forgets.

I still think sq is ripe for another 3x.


#90

Prove it.


#91

I agree with tomato, manch on FB.

Buy now, you will know FB is undervalued. I will buy 1 share of FB (for your proof purpose) in robin hood Monday.

It is the Charisma of Mark Z ! It may go around 175, but I am not too optimistic beyond 200 within this year.

If FB touches 175 before next quarterly results, it is bound to fall.

If FB stays around 160 or goes down towards 150 before next quarterly results, it is bound to go up. On any case, FB around 160 is attractive.

Since I am pessimistic about stocks next one year staying away from FB too.

This is the best way.


#92

Zuckerberg has no charisma, literally, it doesnt exist.


#94

Zuck has 10x the charisma of Larry and Sergei.


#95

They dont try to be what they are not. Zuck does.


#96

FB trailing PE is 30 while revenue and operating earnings are growing over 50% a year. GOOG trailing PE is 57 with 20%recenue growth rate and 10% operating earnings growth. FB is away undervalued relative to GOOG.

GOOG expenses are growing faster than revenue which isn’t good. Unless they can prove any of the moonshots will be a viable business. It’s not just R&D. SG&A is growing faster than revenue too. That’s really disappointing. You’d expect better value from those expenses as a business scales. They should shrink as a percent of revenue not increase.


#97

Geez you’re helping those guys. Let them prove it. Their “undervalue” assessment is based on previous ATH is this, now is below, hence undervalued :sneezing_face:


#98

I thought I made myself clear before? FB >> GOOG. Zuck is very business minded vs Larry & Sergei who just want to fund science experiments on the back of shareholders.

Google’s crown jewel is YouTube. I don’t think they have given it the proper attention.


#99

Yt is getting huge attention, we just need more o&o properties with user time.

Also dont forget, goog doesnt monetize everything it has.


#100

If I guess, market cap wise, FB can not exceed GOOG in next 2 years.

Google spends lot of R&D money, temp cash burn, but those will result in profits soon.

Google is famous for giving free and later cash it on. The app waze will soon remove all GPS system. Today, it is free, but later it becomes subscription based.

Nest+cam will replace home security.

Even though google is making money in ads, Google is everywhere. They are competing with AMZN, AAPL, MSFT…etc every place.


#101

They are giving free to get more users, but once they monetize, they are too big, easily cross AAPL market cap. They have lot of potential to grow, hidden strength to grow.


#102

People have been saying that about google’s R&D, since it went public. Their biggest things were acquisitions not even their own R&D: YouTube, Nest, Waze, Android, and Dropcam. They’ve been spending $10B+/yr on R&D. Yet the best new businesses are acquisitions not developed in house. Also, over 90% of revenue is from ads despite over a decade spent on other ideas.


#103

FB ROE: 23.86%
GOOG ROE: 8.69%

Totally different leagues.