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A comment on Meta lays off 11,000 people. Parent comment

Re:Meta lays off 11,000 people by adam_arthur on Wednesday November 09, 2022 @12:42PM (#33535121)
It’s easy to be generous when times are good and your equity is significantly overvalued relative to fundamentals
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Re:Meta lays off 11,000 people by AbrahamParangi on Wednesday November 09, 2022 @12:52PM (#33535294)
And yet, many are still not generous when times are good.
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Re:Meta lays off 11,000 people by adam_arthur on Wednesday November 09, 2022 @12:56PM (#33535352)
Many were. And now that their stocks are down 90%, they aren’t
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Re:Meta lays off 11,000 people by phonebucket on Wednesday November 09, 2022 @03:12PM (#33537190)
> equity is significantly overvalued relative to fundamentals

Which fundamentals?

The $117.9 billion in revenue and $39.4 billion of net profit in 2021 [1]?

The price to earnings ratio of 9.22, which is far lower than the NASDAQ average of around 28.0 [2]?

[1] https://www.statista.com/statistics/277229/facebooks-annual-... [2] https://ycharts.com/companies/NDAQ/pe_ratio

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Re:Meta lays off 11,000 people by adam_arthur on Wednesday November 09, 2022 @04:26PM (#33538092)
Those stats are for now, not then. Good try though

And they are vaporizing all of their FCF by reinvesting into the metaverse. Or were until the stock continued to collapse.

It’s fair value here if you assume the metaverse is actually something they can monetize in a big way. Too far off for most investors

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