Re:Color Will Be The Pin That Bursts The Startup Bubble
by curt on Thursday March 24, 2011 @06:23PM
(#2366280)
Facebook valuation is only $20/user each year (profit).
Simple Valuation Breakdown: Take $80 billion and divide it by an EBITDA multiple of 10 = $8 billion. Divide that by 400m users, for $20 profit/user each year.
EDIT: EBITDA: Earning before income tax depreciation and amortization.
Simple Valuation Breakdown: Take $80 billion and divide it by an EBITDA multiple of 10 = $8 billion. Divide that by 400m users, for $20 profit/user each year.
EDIT: EBITDA: Earning before income tax depreciation and amortization.